Seeking Alpha

A123 Systems (AONE +54.6%) soars to a lofty $0.19 after China's Wanxiang Group files a 13-D...

A123 Systems (AONE +54.6%) soars to a lofty $0.19 after China's Wanxiang Group files a 13-D waiving any right to exercise warrants to purchase A123 shares, or otherwise go through with its cancelled financing deal. Last week, Wanxiang said it still wants to acquire bankrupt A123, and announced plans to outbid Johnson Controls for A123's battery business. (also)
Comments (8)
  • haleiwahu
    , contributor
    Comments (3449) | Send Message
     
    That is insane to have this kind of price jump
    22 Oct 2012, 12:36 PM Reply Like
  • holydawn
    , contributor
    Comments (127) | Send Message
     
    Am I missing something here? How is this stock worth anything if bankruptcy is a certainty?
    22 Oct 2012, 12:39 PM Reply Like
  • Hubert Biagi
    , contributor
    Comments (689) | Send Message
     
    Pure manipulation of this taxpayer funded fraud...
    22 Oct 2012, 12:41 PM Reply Like
  • AntonyJenkins
    , contributor
    Comments (11) | Send Message
     
    Get ready for a big drop in this after its run-up when speculators realize the Chinese firm will be denied again. Congress is not in the mood to give technology used by military to the biggest industrial spies in USA.
    22 Oct 2012, 04:48 PM Reply Like
  • fishbeancake
    , contributor
    Comments (2) | Send Message
     
    even while in bankruptcy, there is residual value because of the sale of assets in bankruptcy (re: wanxiang's previous bid). yes, they will buy at a discount now, but a look at AONE's balance sheet shows that equity should make out with some value.

     

    think GGP 4 years ago when Ackman bought the equity at $0.50/share (during bankruptcy) and then the shares were relisted at $15/share 6-12months later when it came out of bankruptcy.

     

    in this instance, the 363 sale process will result in a much faster process (thereby preserving much more value).
    22 Oct 2012, 05:07 PM Reply Like
  • gdonelson
    , contributor
    Comments (36) | Send Message
     
    You've got to be kidding....Apples and walnuts. RE (hard assets) vs a loser technology that can't get any scale up results from benchtop demonstration due to the laws of thermodynamics? Entirely way to much risk for me.
    23 Oct 2012, 10:08 AM Reply Like
  • haleiwahu
    , contributor
    Comments (3449) | Send Message
     
    residual value doesn't triple a stock price. This is pure manipulation.
    29 Oct 2012, 10:08 AM Reply Like
  • haleiwahu
    , contributor
    Comments (3449) | Send Message
     
    Risk usually involves speculation on some known and unknown facts currently in existence. Manipultion is a difficult element to accurately factor in.
    29 Oct 2012, 10:10 AM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Tools
Find the right ETFs for your portfolio:
Seeking Alpha's new ETF Hub
ETF Investment Guide:
Table of Contents | One Page Summary
Read about different ETF Asset Classes:
ETF Selector

Next headline on your portfolio:

|