[explo 629]

Yes I guess the conversion price was above current PPS, so they would need to lower that for the CB holders to accept conversion.

[Guest nanofrogfish_spf]

thanks odyd, wow...even though the bailout was more likely than not, I'm still disappointed as I think China missed on a big opportunity here to make things right with the rest of the world...(Solarworld right now is probably saying "I told you so...if they were in China they wouldn't have to resort to blackmail tactics...) The walking dead keep walking...how many more bailouts before they finally get it...

[odyd 1,304]

Nano, Michael had a first stab at this. Solarzoom told me this was the case, afterwards. I do not get how things got to a point what Bloomberg was reporting.

[Guest nanofrogfish_spf]

Odyd, I take my thanks back from you...sorry Michael Michael....THANKS....

[Guest nanofrogfish_spf]

Isn't this kind of a big deal??? How come there hasn't been any news released about this, other than the Chinese Solarzoom article?

[odyd 1,304]

It appears now that company will be split, and parts of it will be sold. http://www.ne21.com/news/show-39172.html

[Guest nanofrogfish_spf]

Now that's more like it!

[Guest nanofrogfish_spf]

Doesn't YGE need an extra GW's worth of module capacity based on this years outlook?...looks like they could luck out and pick it up on the cheap. But how does this tie-in with the news yesterday about the deal on the bond bailout?...I still haven't seen anything out in the news yet... I would expect the "Solar-10" to rally off this news..

[Guest larryvand]

Thanks Odyd for hopefully some good news for the solar sector. Looks like China's "Solar-11" stands for companies that will be allowed to go bankrupt. We can only hope that LDK is next.

[Pop2mollys 414]

Yes yes yes! This is great news and very bullish for sector!

[Guest nanofrogfish_spf]

Hey Raymond James; GREAT call on that STP upgrade! Absolutely excellent analysis...your research department deserves a raise...LOL Boy, talk about having egg on your face...

[Guest Boss]

I hope people will sue Raymond James for upgrade STP 2 weeks before bankruptcy. Typical american broker crooks!!!!!!!!!!!!!!!!

[Pop2mollys 414]

It's obvious I think they unload the day they upgraded. But you know what if you had any sort of commen sense as an investor of solars you would have never put money in STP.

[odyd 1,304]

This is like a bad soap-opera, now they say it will not enter it http://www.ne21.com/news/show-39177.html

[odyd 1,304]

It seems that you guys are seeing a rally? If STP goes bankrupt everyone on the planet will think first that those companies will all go bankrupt. Nobody worldwide exception us here thinks this is good for others.

[Pop2mollys 414]

The day they announced that china would promote bankruptcies and consolidation the whole sector rallied.... http://www.energytribune.com/68548/china-to-promote-solar-power-consolidation-2 And this rally wasn't a one day event on consolidation news it was start huge reversal in sector.

[odyd 1,304]

Doesn't YGE need an extra GW's worth of module capacity based on this years outlook

This could be one way to get capacity. Suntech has some interesting technology, but its major equipment expansion took place in 2011, a year before TSLs and Yingli. There is probably 500M in module capacity, a good $360M in cells, wafers are not worth that much. I would say $1B in equipment another $500M in facilities, take the cash and inventories, there is probably enough to pay outstanding debt. I am calculating equipment at $0.20 per watt as well. The bankruptcy as I read here may still see a company emerged in some format, including listing continuation.

[Guest nanofrogfish_spf]

It seems that you guys are seeing a rally? If STP goes bankrupt everyone on the planet will think first that those companies will all go bankrupt. Nobody worldwide exception us here thinks this is good for others.

I'll have to disagree with you on this one Odyd...if this was last year during the downturn, then I would agree 100% that this would take all the others down as the big question becomes...who's next? But presently, the solars are on the beginning of an upswing, where things have stabilized and demand is coming on strong. I know we're way ahead of the overall market in terms of our knowledge and foresight, but I also think the market is (and has been) keenly aware that the #1 issue is supply/demand imbalance, and this is certainly a big step to further improving that. And this also helps with the #2 issue trade wars, with China showing the world that it meant what it said which should also help with global trade negotiations...as Pop2 noted, the solar market rallied strong on China's announcement earlier. The companies in financial jeopardy are pretty obvious at this point, with the market aware that the strong survivors have a lot of upside from here. Now the "market" can't possibly be that stupid to think that this is bad news, can it????

[odyd 1,304]

Now the "market" can't possibly be that stupid to think that this is bad news, can it????

Well, what they think and what they do it is two different things. I am more on what they will do. There is millions of shares short, it took registration of modules to take 25% of value from some of the prices. I think this will be their baby, I am holding some funds to buy and I am wanting to figure out to get in before or after. Nano, according to this article on SA TSL will need bailout like LDK. http://seekingalpha.com/article/1259791-what-are-suntech-s-options-as-debt-payment-looms?source=yahoo Number 3 authority on technology on seeking alpha and frequent Yahoo article provider. therefore I am not expecting sudden clarity on this from anyone. Titles like "Beginning of the End" and "End of Chinese Solar" will pop like mushrooms after a rain. Cheers

[Guest nanofrogfish_spf]

You could be right odyd, but I hope your wrong. Maybe they can take it down a little initially, but I believe it would pop back strong when people reaIize what's really going on. I believe there's a new positive attitude beginning in solar, and what would be considered bad news last year could be good news this year...and like at the beginning of this year, when everyone thought it was just a technical rebound (junk) rally and would quickly fall back...but it turned out to be much more. There are a lot more positive eyes on solar now, especially after several major investment banks just declared that the "Next Wave" has begun...and is "unstoppable" now (not to mention all those devastating storms that keep on coming). I don't know much about TSL's finances, but I gotta ask...what do they need bailed out from? Regardless, the strongest companies will ultimately benefit, and I don't lose too much sleep over the short-term market manipulations that can occur...others can do what they want, by my train tickets aren't for sales at these super-low prices...