Wednesday, February 12, 2014

Suntech Short Interest Declined Again $STPFQ

Down to 4.6 million shares short at the end of January. That was a decline of 1,075,213 in the second half of January. About ~90k shares/day during a period when the average volume was ~600k.

Impatient shorts have been the ones maintaining the price, it looks like.


Anonymous said...

Any timeline or updates from the creditors meeting last night?

Anonymous said...

"..NYSE's Committee for Review has upheld a decision previously made by NYSE Regulation, Inc. to commence delisting proceedings of the Company's American Depositary Shares."

MrGotham said...

Now that they have been denied relisting by the NYSE (rightly so), will Guolian punt on the restructuring given their obsession with an NYSE listing. My take has long been that they were all hat and no cattle on the $150MM recapitalization investment. If they couldn't even put up a few million in a DIP financing to pay the lawyers and accountants, why should anyone think they are going to show up with that amount of money?

Anonymous said...

They said on the creditor call on Wednesday that Guolian is out.

Anonymous said...

What other information was disclosed by the JPLs, company, and/or creditors at the meeting?

There seems to be no plan other than to eventually liquidate STPFQ.

The bondholders seem to believe they will get ~$100 million or more out of the Italian assets and a possible settlement on previously undisputed share transfers that the company is now disputing.

The only thing holding up the share price is shorts covering and algo traders (likely HFTs given the spiky volume and since they gain from price volatility, especially on a percentage basis).

At the same time, after STPFQ files for chapter 15 next week, the stock will likely hover around a 50 or so tens of millions market cap for some time, as there won't be a swap anytime soon.

Anonymous said...

There is no plan other than to liquidate.

The myriad "professionals" are going to burn through the remaining value - which is probably only enough for a few cents of recovery to unsecureds. (Which is how they justify their behavior to themselves. What's the difference between a few cents and zero?)

This is happening because it serves the interests of Clearwater and Spinnaker. After their failed bet on a bailout, they don't seem to have any interest in investigating the good people at Suntech or where the money went.

Share price will probably decline to a few cents. It was being propped up by millions of impatient short shares being covered.