Replies to post #35518 on Sunedison Inc. (fka SUNEQ)

[Top Penny]

Thanks, this won't stop shares from being cancelled however. At best shareholders who bought pre BK might have a lawsuit on their hands and a chance at recovery of some sort. Those who bought post bankruptcy will receive nothing. Either way, shares will be cancelled.

[taniag]

This does not help shareholders who bought after the news of the margin call. I believe the news of the margin call came out in December 2015 shortly after the November 25 massacre. I was a shareholder prior to the massacre and sold in January 2016 after the news SUNE couldn't file their financials due to poor internal controls, so hopefully I can recover some losses.

But the preferred shareholders have a very valid claim against Goldman Sachs. They're receiving zero in BK and they bought into the preferreds at $1000 a share in late 2015 and never received a dividend. How does it feel to go from $1000 a share to $0 in months knowing the underwriter for your shares margin called on a loan triggering the company's collapse.

[OBE]

Thanx Lorcan. If my reading-comprehension isn't failing me

herein lies the sum and substance of the lawsuit:

Just four days after the “secret” loan, on Aug. 15, 2015, Goldman “in particular, actively solicited” KKR’s purchase in the preferred-stock offering, on which it was lead underwriter, and acted as its broker-dealer, KKR says. KKR committed to a large chunk of the shares from the start, and eventually bought $157 million worth.

By failing to mention the 15 percent loan and the margin loan’s terms, the underwriters broke securities law, KKR claims.

“The interest rate on the 15 percent Goldman Loan also would have been very revealing to investors of the views of Goldman," one of SunEdison’s most trusted financial advisers, KKR wrote in its suit.

As you say, it's no enticement to BUY SUNEQ but it does offer those of us who are going to enjoy a 100% loss a ray-of-hope.

It's a departure from the NYAH-NYAH...YOU LOST JER ASSSSSS! we get from the naysayers.