Hercules Offshore Inc (fka HEROQ)

[Beezerr34]

Well let's look at it from some different perspectives. First, we have to look at it from the perspective of the bondholders since they control 96.9% of the company. Did they just vote in favor of this restructuring knowing they'd be down 75% on day one of trading? I find that very hard to believe. That goes hand in hand with the valuation discussion from my previous post. Will the company have a market cap. of $300 million after extinguishing $1.2 billion in debt? I find that hard to believe as well. For it to even "trade" at least some of the bondholders are going to have to sell, and I just can't imagine that they're going to take a 75% loss on day one. The 3.1% that "retail" owns won't be enough to establish a market.