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Value82

05/21/17 2:43 PM

#34693 RE: taniag #34692

Well it's clear that SunEd will remain in business, too, just under different ownership. The company is breaking off chunks, selling them at a discount, and will be reconsolidating and reforming in a more sensible way under new ownership. NRG picked up projects at a huge discount and is setting up to sell them once SunEd emerges (they already said that), presumably to the "reformed" entity (BEP, or other). NRG is an example of what seems like an expensive "parking spot" but considering that this reorg cancels $billions in debt and old equity securities, it makes sense. That says nothing of the other $billions in residual assets that aren't even debtors. This became a loan to own deal in January '16, the question is how good is commons counsel and all the professionals they need to hire to gain any ground in making that case. I'm still sticking to my 20:1 odds. They have a chance, at least to get reimbursed for their costs to the extent that they improve recoveries for creditors (in other words, they have to pay for themselves in terms of what value vs costs they end up adding to the estates).