(This is an excerpt from an article I originally published on Seeking Alpha. Click here to read the entire piece.)
“On August 15, 2011, Evergreen Solar, Inc., a Delaware corporation (the “Company”), pursuant to the provisions of the United States Bankruptcy Code (the “Bankruptcy Code”), filed a voluntary petition in the United States Bankruptcy Court for the District of Delaware seeking relief under the provisions of Chapter 11 of the Bankruptcy Code (Case No. 11-12590) (the “Bankruptcy Case”).” – Form 8K filed by Evergreen Solar (ESLR), August 15, 2011
This is the introduction ESLR investors expected was coming at some point, but, nevertheless, hoped somehow, someway could be avoided (for example, see “Is Evergreen Solar Flirting with Bankruptcy?“, “Evergreen Solar Confirms Its Scramble to Avoid Bankruptcy“, “Evergreen Solar Takes One More Step Closer to Bankruptcy“)
As expected, ESLR simply could not figure out a way to pay its debt due on its expensive and burdensome 13% Convertible Senior Secured Notes…{snip}…It seems likely that an Evergreen Solar on the other side of bankruptcy will effectively be a Chinese company operating from the Wuhan, China manufacturing facility, depending on the cooperation of ESLR’s Chinese investors of course.
{snip}
In case you are still thinking about playing around with ESLR stock, the company provides the following boilerplate warning for a stock trading during a bankruptcy proceeding…
{snip}
*Chart created using TeleChart
(Click here for a recent archive of ESLR posts)
Be careful out there!
(This is an excerpt from an article I originally published on Seeking Alpha. Click here to read the entire piece.)
Full disclosure: (Not for) long ESLR