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Bankrupt Solar-LDK, Suntech, SunEdison

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1 hour ago, disdaniel said:

One question that I have about SUNE.  They have a lot of assets. 

Why haven't they sold any for cash if that is the problem?  The company has presumably known there were cash issues for months now.

Yes it would be a "distressed" sale, they might even lose money on the deal, but isn't it better to lose a few million (or even tens of millions) on a slice of their assets, than to torch the whole pile?  I am not saying this is a great way to run a company (nobody wants to see major loses), but desperate times call for desperate measures. 

Yet SUNE has not done anything like this...why?

 

I think the problem is that we don't know what they've done even 5 months ago, since they haven't reported Q4 yet. I'm sure they've tried to release cash, but the efforts might not have been enough for them to be able to meet their obligations anyway. Remember that they constantly bleed a lot of cash from high opex and interest expenses, so the scrambling is a continuous effort that seems to not work very long for them after the capital markets shut the door.

Check out the debt surge: http://www.bloomberg.com/news/articles/2016-03-23/sunedison-may-face-1-4-billion-default-if-earnings-delayed-more

Those were the SUNE glory days of endless financial cash flow.

 

 

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15 minutes ago, explo said:

we don't know what they've done even 5 months ago, since they haven't reported Q4 yet

They reported a series of deals during the past five months.  They converted/repriced a bunch of convertible debt, and sold some equity, and swapped a bunch of secured debt for unsecured debt, and "backed out" of some acquisitions.  I don't recall a single asset sale for cash.

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40 minutes ago, disdaniel said:

They reported a series of deals during the past five months.  They converted/repriced a bunch of convertible debt, and sold some equity, and swapped a bunch of secured debt for unsecured debt, and "backed out" of some acquisitions.  I don't recall a single asset sale for cash.

That's the problem I guess. Not all sales are PR:d. It's usually only if both buyer and seller consider it in their interest to do so or the event is considered so out of ordinary business and of material impact the SEC would require a disclosure filing. Other than that it is at the discretion of the company management what they disclose prior to the ER and SUNE certainly is in "keeping up appearances" mode.

 

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7 minutes ago, explo said:

of material impact the SEC would require a disclosure filing

While it might be entertaining to learn that SUNE raised a few hundred million from asset sales a couple months ago and didn't tell anyone, I have to believe that would be considered "material" for a company that is trading like it is days from a bk filing...

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2 hours ago, BIPV Investor said:

Yeah buying a house, mostly all cash in San Diego doesn't leave money to gamble with. As an investment I do not like real estate at all right now. Way overvalued, but like I said house is for family.

You're a good person for taking a financially detrimental plunge to benefit your family.  Way to take responsibility.  The world needs more of that kind of attitude.

All the best to you in your future endeavors.

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3 hours ago, BIPV Investor said:

Yeah buying a house, mostly all cash in San Diego doesn't leave money to gamble with. As an investment I do not like real estate at all right now. Way overvalued, but like I said house is for family.

I also bought a house 2 weeks ago with 30% down payment....  settle down and start a family.

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Another 13M shares of SUNE shorted in first two weeks of March. Total now (or rather on 3/15/16) at 119.5M.

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5 hours ago, BIPV Investor said:

Yeah buying a house, mostly all cash in San Diego doesn't leave money to gamble with. As an investment I do not like real estate at all right now. Way overvalued, but like I said house is for family.

Good luck. It may be pricey in California right now but San Diego is a beautiful  area and a great place to park money in property. That market may dip some from here but will be one of the first to bounce back and climb. My uncle retired from the Navy  and lived in LaJolla for 30 years.   I used to jet ski on Mission Bay when I was visiting.

 

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BIPV, there is no need for you to leave, you have 31 threads free to post out of 36 we have. Thank you for letting me know that profile was not editable. Nobody mentioned so I did not know that. Now, this is corrected.

Your id will remain active so as long as you have access to the internet the site is always open.

The price for a full year is $70 CAD, that is $53 US per year, I think this is a cup of coffee per month. Anyways It is not the money but the principle, all the best. 

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7 hours ago, BIPV Investor said:

While I greatly value your and Odyd's analysis (along with a few others), I can't justify paying money for it. Not that the amount is large, as it really isn't, but out of principles I'm having trouble defending being part of a paid solar site now that there isn't a data component to it. In the beginning it was a paid site as that was prudent to keep the internet trolls away, but at this point it is rather clear that if this was an open site very little would change. The membership levels continue to diminish and I don't see this reversing giving the solar sector's perpetual status as a plaything of Wall Street. 

In a nutshell, I've been paying money to be able to post my trades and get yelled at by other for doing so. Time and time again, the majority of this forum buys at absolutely the wrong time as they don't really understand how solar is nothing but a trading vehicle.

Lastly, some family issues are arising such that within the next four month I will have moved the majority of my trading account into real estate (horrible time to buy real estate, but it isn't an investment decision). This means my time spent playing with solar has essentially come to a close as I don't see any buy and hold names in the sector.

Out of principle you won't pay $7 US a month or $1.75 a week for site but will pay all cash for a house in Cali in a frothy real estate market there?  I forbid you to do that... lol!  You know you could rent and not take a risk in real estate. 

 

Anyways good luck and wish you the best....

 

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