Investors, Creditors Getting Demolished by this Global Renewables Giant

Friday, February 26, 2016
By Paul Martin

Financial Fallout Spreads.

by Don Quijones
WolfStreet.com
February 25, 2016

Investors, Creditors Getting Demolished by this Global Renewables Giant
by Don Quijones • February 25, 2016
Share on FacebookTweet about this on TwitterShare on LinkedInShare on Google+Share on RedditPrint this pageEmail this to someone
Financial Fallout Spreads.

By Don Quijones, Spain & Mexico, editor at WOLF STREET.

Abengoa Bioenergy US Holding filed for Chapter 11 bankruptcy on Wednesday, listing up to $10 billion in total liabilities, including an unsecured leveraged loan of $1.45 billion and unsecured bonds of $3.85 billion. It didn’t list its secured debts. The filing was prompted by involuntary bankruptcy petitions by three US grain suppliers, which claim to be owed more than $4 million in unpaid invoices – million with an “m,” that’s how out of money this outfit is.

The suppliers had reportedly been told by the company that its Spanish parent, Abengoa SA, which controls the “central treasury,” had run out of cash, Reuters reports. And they cited concerns that “the U.S. business was transferring cash and loan proceeds to Abengoa SA.”

Even by recent standards, Spain’s teetering green-energy giant Abengoa SA has not had a good week. First, its former President, Felipe Benjumea, and former CEO, Manuel Sanchez Ortega, faced the indignity of standing trial for malfeasance over the exorbitant payoffs they awarded themselves just months before the company hit the wall. In Sánchez Ortega’s case, he is also accused of sharing insider information about Abengoa’s finances with his new employer, the world’s biggest investment fund, BlackRock [read: The Mother of All Shorts].

The Rest…HERE

Leave a Reply

Join the revolution in 2018. Revolution Radio is 100% volunteer ran. Any contributions are greatly appreciated. God bless!

Follow us on Twitter