SunEdison, Inc.OTCPK - Limited
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Fri, Oct. 21, 10:16 AM
- SunEdison (OTCPK:SUNEQ) hid its toxic financial state while granting hundreds of millions of dollars in benefits to its most powerful lenders before its April bankruptcy, creditors say in a lawsuit that seeks to regain the money.
- In an attempt to put off financial collapse and hide mismanagement, SUNE allegedly gave a “sweetheart deal” to its first- and second-lien creditors, according to the lawsuit filed Thursday as part of the company’s bankruptcy case.
- The creditors allege SUNE did not want to seek out new lenders after already raising $24B in debt over three years; the company instead turned to existing lenders and replaced their unsecured notes with secured debt that would give them a leg up in any bankruptcy, they say.
Wed, Oct. 12, 6:53 PM
- SunEdison (OTCPK:SUNEQ) discloses that the SEC is conducting an investigation into the company..
- SUNE says the notice was accompanied by a subpoena seeking emails and other electronic communications sent or received by current and former directors of the company and of spinoffs TerraForm Power (NASDAQ:TERP) and TerraForm Global (NASDAQ:GLBL).
- SUNE had been the subject of an informal SEC inquiry earlier this year.
Thu, Oct. 6, 3:24 PM
- Formerly bearish Axiom Capital analyst Gordon Johnson upgrades his rating on the solar energy sector (TAN +0.5%) by two notches to Overweight from Underweight, and raises his ratings on Yingli Green Energy (YGE +4.6%), Trina Solar (TSL +1.3%) and JA Solar (JASO +4.5%) to Buy from Sell, as well as SolarCity (SCTY -2.6%) to Hold from Sell.
- A key reason for Johnson's "new-found solar optimism" is China's decision to cut solar subsidies, which could result in ~25 GW of Chinese “pull-in” demand in H1 2017, suggesting a undersupply in the solar market that should push prices higher.
- Johnson believes the stronger demand will cause the prices of all kinds of solar equipment to surge, resulting in higher margins and multiples for many solar companies.
- Also: OTCPK:SUNEQ +63% (see earlier), CSIQ +0.7%, SPWR +0.3%, FSLR -0.3%.
Thu, Oct. 6, 11:57 AM
- SunEdison (OTCPK:SUNEQ +21.8%) is taking steps to work out a reorganization plan without liquidating its controlling stake in its TerraForm Power (TERP +0.3%) yieldco, Bloomberg reports.
- TERP reportedly is talking with SUNE’s creditors to start the process of evaluating its assets as part of a reorganization in which SUNE could keep its shares in TERP and restructure around it.
- The alternative would allow SUNE to hold onto TERP after exiting Chapter 11 and to benefit from its growth, or the company could decide whether to sell its stake after evaluating bids from potential buyers, according to the report.
Mon, Oct. 3, 6:22 PM
- SunEdison (OTCPK:SUNEQ) confirms it is engaged in settlement talks with its two yieldco subsidiaries, TerraForm Power (NASDAQ:TERP) and TerraForm Global (NASDAQ:GLBL), as part of its ongoing bankruptcy case.
- SUNE says while it disagrees with many of the statements made by the yieldcos in their Sept. 25 press releases, a settlement of disputes with the yieldcos is "overwhelmingly in the interests of both sides," and it plans to proceed with settlement discussions while also moving forward with the sale process.
- SUNE also says it is engaged in a collaborative sale process to sell either its ownership interests and other rights in the yieldcos or the entirety of the equity in the yieldcos.
Tue, Sep. 27, 5:45 PM
- TerraForm Global (NASDAQ:GLBL) says it reached agreement with subsidiaries of parent company SunEdison (OTCPK:SUNEQ) allowing the sale of certain assets to an unnamed third party buyer.
- The sale includes a solar farm in India and assets in Uruguay that had been committed to be transferred to GLBL, in deals that were not completed before SUNE filed for bankruptcy in April.
- GLBL says it will receive a portion of the proceeds that does not exceed $10M.
Mon, Sep. 26, 6:05 PM
- Edison International (NYSE:EIX) subsidiary SoCore Energy agrees to acquire equity interests in 22 community solar garden development projects in Minnesota as part of SunEdison's (OTCPK:SUNEQ) bankruptcy proceedings.
- The deal was approved today by the U.S. Bankruptcy Court in New York for a total of as much as $79.8M if all projects are completed.
- SoCore says the projects would provide up to 140 MW of solar generated power to meet the growing demand for renewable energy in Minnesota.
Mon, Sep. 26, 8:22 AM
- SunEdison (OTCPK:SUNEQ) yieldcos TerraForm Power (NASDAQ:TERP) and TerraForm Global (NASDAQ:GLBL) say they have started settlement talks with the parent company, which is in Chapter 11 bankruptcy, over more than $3B of claims against it (I, II).
- The two companies allege that SUNE interfered with their business and breached fiduciary duties, and they had challenges to how SUNE could transfer its controlling B shares in them during or after its bankruptcy.
- GLBL and TERP say they have at least $2B and $1B, respectively, in claims against SUNE.
Wed, Sep. 21, 4:37 PM
- Shares of TerraForm Power (NASDAQ:TERP) spiked into the close for a 4.4% gain following a Bloomberg report that BlackRock (NYSE:BLK) has joined a list of potential buyers for the company.
- BLK, which owned 5.3% of TERP’s class A shares as of June 30, would be joining several investors including Brookfield Asset Management (NYSE:BAM), Appaloosa Management and China's Golden Concord Holdings as possible bidders, according to the report.
- “If investors believe TerraForm can transition to a competently managed company freed of its ties to SunEdison, it would be a natural institutional target amidst the global search for yield,” a Bloomberg analyst says.
- TERP and fellow SunEdison (OTCPK:SUNEQ) yieldco TerraForm Global (NASDAQ:GLBL) said earlier this week that they were seeking to sell their entire businesses or operate independently.
Mon, Sep. 19, 8:55 AM
- TerraForm Power (NASDAQ:TERP) +5.3% and TerraForm Global (NASDAQ:GLBL) +1.4% premarket after the SunEdison (OTCPK:SUNEQ) spinoffs say they are evaluating potential strategic alternatives, including a merger or sale of their entire businesses (I, II).
- The companies say they are open to considering transactions involving a new sponsor, including through negotiation of new sponsorship arrangements or through assumption of SUNE's existing sponsorship agreements.
- SUNE may require bankruptcy court approval on decisions such as how to vote its shares in TERP and GLBL.
Fri, Sep. 16, 11:23 AM
- The Senate Finance Committee and the House Ways and Means Committee have launched a formal investigation into whether solar energy companies improperly received billions of dollars in tax incentives from the Obama administration.
- The committees sent letters to three companies in the residential solar industry - SolarCity (NASDAQ:SCTY), Sunrun (NASDAQ:RUN) and Sungevity - and four solar utility firms - SunEdison (OTCPK:SUNEQ), Abengoa (NASDAQ:ABGB), NextEra Energy (NYSE:NEE) and NRG Energy (NYSE:NRG).
- At issue is a Treasury Department policy that gives solar firms a 30% investment tax credit on the cost of acquiring a system, but solar energy developers do not always have the income to use the credits or the funds to buy and install solar energy systems, so they routinely enlist big investors and transfer the tax benefits.
Tue, Sep. 13, 12:32 PM
- Vivint Solar (VSLR -5%) is lower after a U.S. bankruptcy judge rejected its bid to sue SunEdison (OTCPK:SUNEQ) over its claim that a busted merger cost it $1B in damages.
- The judge rejected VSLR’s call to lift the automatic stay shielding SUNE from hostile litigation while the bankruptcy case is pending.
- Because of the size of the damages claim, VSLR would have had significant bargaining power when it comes to deciding a future course for SUNE, but the judge said the merger litigation “is in its infancy, and Vivint has not shown that its resolution is essential” to bankrupt SUNE’s reorganization.
Tue, Sep. 13, 8:57 AM
- NRG Energy (NYSE:NRG) has won the auction for bankrupt SunEdison's (OTCPK:SUNEQ) wind and solar projects in Texas and other states with a $144M bid.
- The sale is one of several that SUNE is holding since filing for Chapter 11 bankruptcy protection in April after an unsuccessful debt-backed acquisition drive.
- The bankruptcy judge will hold a hearing to approve the NRG bid on Thursday.
Tue, Sep. 6, 7:11 PM
- A hurdle in SunEdison's (OTCPK:SUNEQ) efforts to sell some projects in Hawaii and California is eliminated, as creditors D.E. Shaw and Madison Dearborn Capital Partners agree not to block the planned sale.
- The creditors also cancel a December agreement that had called for SUNE to transfer some assets to them, but was never completed.
- The new agreement - which SUNE plans to present to the bankruptcy court judge on Sept. 8 for his approval - comes about six weeks after the bankruptcy court approved SUNE’s $80M planned sale of its equity interests in the Mount Signal 2 solar project in Imperial Valley to Shaw.
Mon, Aug. 29, 1:57 AM
- D.E. Shaw & Co is weighing a bid for SunEdison's (OTCPK:SUNEQ) controlling stake in TerraForm Power (NASDAQ:TERP), the bankrupt renewable energy producer's most valuable asset, Reuters reports.
- The hedge fund and its affiliates already own some TERP common shares after receiving them in an agreement announced last year upon forgiving debt owed by SunEdison.
- Appaloosa Management and Brookfield Asset Management (NYSE:BAM) have separately announced plans to jointly bid on the so-called "Class B" shares of TerraForm Power.
Sun, Aug. 28, 4:50 PM
- GCL-Poly says in a filing it has agreed to buy SunEdison's (OTCPK:SUNEQ) polysilicon business, its subsidiaries including SunEdison Products Singapore, MEMC Psadena, Solaicx, and its shares in SMP, a Korea JV.
- GCL lists the "target assets" as "solar materials businesses including relevant platform, people, intellectual property processes and advanced manufacturing technology to (i) enhance its research and development on electronic grade granular polysilicon on FBR technology; (ii) increase its production capacity of electronic grade granular polysilicon; (iii) substantially improve pulling efficiency and quality of its single crystalline ingots production with SunEdison’s proprietary technology; (iv) reduce the production costs of single crystalline ingots and electronic grade granular polysilicon with SunEdison’s advanced manufacturing technology; and (v) maintain the cost advantage and competitiveness the Group currently has in producing solar materials by securing the relevant patents."
- Deal is worth a cash consideration of $150M on a cash-free, debt-free basis.
- $50M of the cash consideration will be funded into escrow accounts and distributed back to GCL (OTCPK:GCPEF, OTC:GCPEY) if certain post-closing conditions are not satisfied.
- It is unclear what effect, if any, the deal will have on the company's shareholders.