Streetbeat News

Bankruptcy

DAVE

Dave Inc. (NASDAQ:DAVE) has agreed to repurchase a $100M convertible note from FTX Ventures Ltd. for $71M. The transaction is subject to approval by the Bankruptcy Court due to FTX's bankruptcy proceedings, with a hearing set for January 25, 2024. Dave's CEO believes this is a strategic capital allocation that supports their growth plan without needing extra equity capital.

Portfolio Pulse from Benzinga Newsdesk

January 05, 2024 | 2:01 pm

BABA

NTES

Beijing's court has accepted a bankruptcy liquidation application from Zhongzhi Enterprise Group, a Chinese wealth management firm with significant exposure to the real estate sector. The company, facing insolvency with debts of $64 billion against assets of $27.95 billion, has sparked concerns over the impact on the broader financial sector and global markets. Major U.S.-listed Chinese companies like Alibaba Group Holding Limited and NetEase, Inc. have been affected, with stock tumbles reflecting fears of contagion within China's shadow banking industry.

Portfolio Pulse from Benzinga Neuro

January 05, 2024 | 12:07 pm

MS

James Gorman, former CEO of Morgan Stanley, expressed skepticism about Bitcoin's value as a storage medium, considering it too speculative and volatile for it to be a core investment. Despite this, he acknowledged that Bitcoin is not a fad and is here to stay. Gorman also commented on the recent bank failures, attributing them to poor management rather than an industry crisis, and shared a positive outlook on the U.S. economy, downplaying the likelihood of a recession.

Portfolio Pulse from Benzinga Neuro

January 05, 2024 | 4:27 am

TSLA

Tesla Inc (NASDAQ:TSLA) is contesting a former employee's bankruptcy claim to avoid paying a $425,000 legal debt to the company. Martin Tripp, the ex-employee, admitted to breaching trade secret laws and confidentiality agreements and was ordered to pay $400,000 to settle a lawsuit and an additional $25,000 in sanctions. Tripp had begun payments but filed for bankruptcy in late September, which Tesla is now challenging.

Portfolio Pulse from Benzinga Neuro

January 03, 2024 | 2:30 am

CVX

Chevron Corporation (NYSE:CVX) will incur a non-cash, after-tax charge of $3.5 to $4.0 billion in Q4 FY23 due to regulatory challenges in California affecting its upstream assets and obligations from previously sold assets in the Gulf of Mexico. The company plans to continue operating the California assets and expects to manage decommissioning activities in the Gulf over the next decade. Chevron announced a $16 billion capex budget for 2024, with $14 billion for upstream spending, two-thirds of which is for the U.S. CVX shares rose 0.76% in premarket trading.

Portfolio Pulse from Shivani Kumaresan

January 02, 2024 | 2:06 pm

GPN

MA

V

FP Omni Technologies is suing TSYS Acquiring Solutions, a subsidiary of Global Payments Inc (GPN), for $500 million over alleged breach of contract. FP Omni claims it was misled about TSYS's ability to process cannabis transactions until 2024, which was disrupted when Visa (V) and Mastercard (MA) banned cannabis-related transactions. TSYS calls the lawsuit baseless, stating it cannot override federal regulations. The lawsuit also hints at potential future cannabis-friendly payment systems by TSYS, Visa, and Mastercard.

Portfolio Pulse from Maureen Meehan

January 01, 2024 | 7:33 pm

FTTUSD

A motion has been filed with the U.S. Bankruptcy Court in Delaware to establish a standard method for valuing claims in the FTX bankruptcy case, using a 'Digital Assets Conversion Table' to convert digital assets to dollar values as of Nov. 11, 2022. This is intended to facilitate the Chapter 11 process and avoid delays in the bankruptcy administration. The court has set a deadline for objections and scheduled a hearing on the matter.

Portfolio Pulse from Murtuza Merchant

December 29, 2023 | 6:21 pm

COIN

GMM

HUT

LYFT

Global Mofy Metaverse Limited (GMM) shares plummeted by 37.2% after announcing a $10 million follow-on offering. Other stocks also experienced declines, including Canaan Inc., Bitdeer Technologies Group, TeraWulf Inc., Applied Optoelectronics, Inc., and several others. Notably, Hut 8 Corp. received court approval to proceed with mining operations amid Celsius Network's bankruptcy, and Coinbase Global's director sold over 100k shares. Lyft shares dropped after a Nomura downgrade and insider selling by the CAO.

Portfolio Pulse from Avi Kapoor

December 29, 2023 | 3:45 pm

CC

CTVA

DD

MMM

In 2023, lawsuits over PFAS contamination in U.S. drinking water led to over $11 billion in settlements involving 3M Co (MMM), The Chemours Co (CC), Corteva Inc (CTVA), and DuPont de Nemours Inc (DD). The litigation, which is expected to increase due to upcoming federal regulations and heightened awareness, poses a significant threat to these companies, with potential for more lawsuits in 2024 and existential risks including bankruptcy.

Portfolio Pulse from Vandana Singh

December 29, 2023 | 1:43 pm

HUT

Hut 8 Mining Corp. has received court approval to continue with its full mining operations plan amid the bankruptcy proceedings of Celsius Network LLC. This development is significant for Hut 8 as it allows the company to maintain its mining activities, which are central to its business model.

Portfolio Pulse from Benzinga Newsdesk

December 29, 2023 | 11:36 am