Replies to post #44970 on BioAmber Inc (fka BIOAQ)

[1manband]

What makes you think shares are doomed?

Because it IS the law. It really IS that simple.

The PwC bankruptcy documents are clear. The only creditors being paid are the DIP lender and the first secured lender, Comerica Syndicate. No one else is getting a penny.

By LAW, if the remaining debt is discharged, which is definitely happening since the other secured lender's security interests are being lifted, the equity will also have to be cancelled. It cannot survive if all the classes in front of them in line for assets are not 100% satisfied.

The Company even SAID this was going to be the outcome. They were not lying.

[TenKay]

“What makes you think shares are doomed?”

Common shares of a company that goes through liquidation get cancelled.

If there is enough money left in the liquidation after ALL creditors, debtors and preferred equity holders get paid, then common shareholders get a liquidating dividend.

If not, they get nothing.

In the case of BIOAQ, we know the only creditors getting paid are the DIP financier and Comerica (partially)

That means commons get nothing.

VV see my sig below VV