Streetbeat News

Bankruptcy

SBGI

Diamond Sports Group has entered into a Restructuring Support Agreement with key creditors to reorganize and emerge from Chapter 11 bankruptcy. The agreement includes over 85% of first lien, over 50% of second lien, and over 66% of unsecured bond holders. Sinclair Inc., Diamond's parent company, will pay $495 million in cash and provide support services as part of a settlement to aid Diamond's reorganization and separation from Sinclair.

Portfolio Pulse from Charles Gross

January 17, 2024 | 11:06 am

CLSK

MIGI

Mawson has initiated arbitration proceedings against CleanSpark, Inc. (CLSK) claiming at least $2 million related to the sale of its Georgia facility. Additionally, Celsius Mining LLC and related entities filed for Chapter 11 bankruptcy and have an ongoing legal dispute with Mawson, including an $8 million claim against Mawson and a demand for a $15.33 million deposit return. Mawson denies Celsius' claims and is considering counterclaims that could exceed the amounts asserted by Celsius. Mawson contests the bankruptcy court's jurisdiction and filed a motion to compel arbitration on January 2, 2024.

Portfolio Pulse from Benzinga Newsdesk

January 16, 2024 | 1:50 pm

AMTB

Amerant Bank, a subsidiary of Amerant Bancorp, Inc. (AMTB), has agreed to sell a loan portfolio worth approximately $401 million to Prime Finance Advisor for $370 million. The portfolio consists of non-relationship multifamily commercial real estate loans from the Bank's Houston, Texas portfolio. The sale includes customary terms and is expected to close by the end of January 2024.

Portfolio Pulse from Benzinga Newsdesk

January 16, 2024 | 12:16 pm

WFC

Wells Fargo reported a Q4 provision for credit losses of $1.28 billion, an increase from $957 million year-over-year. The rise was attributed to higher allowances for credit card and commercial real estate loans, tempered by a reduced allowance for auto loans. The bank also experienced higher net loan charge-offs in commercial real estate office and credit card loans.

Portfolio Pulse from Benzinga Newsdesk

January 12, 2024 | 11:54 am

ENDPQ

Endo International (OTC:ENDPQ), a bankrupt generic drugmaker, has received court approval to solicit votes for its restructuring plan, which includes a $600 million trust to compensate various creditors affected by the opioid epidemic linked to its painkiller Opana ER. The plan is still under negotiation with U.S. agencies and proposes payments of up to $465 million over ten years. A group of states, tribes, and private institutions is supporting the vote solicitation, indicating progress in discussions with the U.S. Trustee and the Department of Justice.

Portfolio Pulse from Vandana Singh

January 11, 2024 | 7:09 pm

AMZN

SBGI

Diamond Sports, operating under Bally's name and owning rights to various sports teams, is in bankruptcy and negotiating a streaming deal with Amazon for MLB rights. A judge extended the negotiation period, delaying a hearing to January 19. Diamond's senior lenders support a plan to wind down operations after 2024, while junior lenders led by Prudential aim to keep the company afloat. The junior lenders are also in talks with Sinclair Broadcasting over a lawsuit.

Portfolio Pulse from Benzinga Newsdesk

January 11, 2024 | 3:33 pm

EGRNF

NWTN

China Evergrande New Energy Vehicle Group Ltd's shares fell 23% after the arrest of executive director Mr. Liu Yongzhuo for suspected illegal activities. The company's financial struggles continue, with a recent downgrade by Moody's and a failed share sale to NWTN Inc. Evergrande's chairman's fortune dropped by 93%, and the company filed for Chapter 15 bankruptcy in the US. Shares plunged 87% after a 17-month trading halt, reflecting a loss of 39.25 billion yuan in six months.

Portfolio Pulse from Benzinga Neuro

January 08, 2024 | 8:50 am

AUDA

Audacy Inc (OTC:AUDA), a radio and podcast company, has filed for Chapter 11 bankruptcy due to a significant drop in advertising revenues. The company plans to reduce its $1.9 billion debt by approximately 80%, leaving it with $350 million. The restructuring plan has been approved by most creditors, and Audacy will continue operations during the bankruptcy process. Its stock, now traded over the counter, has fallen 97% over the past year.

Portfolio Pulse from Benzinga Neuro

January 08, 2024 | 7:07 am

HGEN

Humanigen (OTC:HGEN) has filed for bankruptcy following the FDA's rejection of its COVID-19 drug, lenzilumab. The company reported $44.1 million in unsecured debts against assets of $521,000. The FDA's decision, legal challenges, and studies questioning the drug's efficacy have led to a financial crisis for Humanigen, resulting in its delisting from Nasdaq in October 2023. The stock has lost almost all value from its previous $20 trading range.

Portfolio Pulse from Vandana Singh

January 05, 2024 | 3:55 pm

AAPL

COIN

MRNA

NVDA

PFE

SOXX

TSLA

VGT

XLY

Short sellers faced significant losses in 2023, with a total of $194.9 billion evaporated due to a market surge. The technology and consumer discretionary sectors were particularly damaging, with the Vanguard Information Technology ETF (VGT) and Consumer Discretionary Select Sector SPDR Fund (XLY) seeing gains of 44.7% and 33.4%, respectively. Tesla (TSLA), Nvidia (NVDA), and Apple (AAPL) were the least profitable short positions, while shorting in the cryptocurrency space, including Coinbase (COIN), was also unprofitable. Conversely, short sellers profited from bankruptcies, notably First Republic Bank and Silicon Valley Bank, and from shorting pharmaceutical companies Moderna (MRNA) and Pfizer (PFE), which failed to capitalize on the weight-loss drug trend.

Portfolio Pulse from Neil Dennis

January 05, 2024 | 2:25 pm