World's largest renewable energy developer on verge of bankruptcy

SunEdison stock has dropped 90%

The world's largest renewable energy developer, SunEdison, may be on the verge of filing for bankruptcy protection after it was revealed that it is reportedly being investigated for overstating its financial stability.

SunEdison has had an aggressive acquisition history, but those buyouts have left it with $11 billion in debt, Reuters reported.

"SunEdison is having more than its share of troubles," Deutsche Bank wrote in an announcement that it was suspending its ratings of both SunEdison and its parent company, TerraForm Global.

TerraForm Global announced its 10K filing would be delayed due to SunEdison's financial reporting issues. TerraForm's annual report was to be filed by Wednesday.

"SunEdison and its subcontractors are continuing to perform substantially under the operations and maintenance contracts for our operating projects," TerraForm Global wrote in a filing with the Securities and Exchange Commission. "Due to SunEdison's liquidity difficulties, there is a substantial risk that SunEdison will soon seek bankruptcy protection. Such an action would have a material adverse effect on TerraForm Global given our reliance on SunEdison."

Deutsche Bank noted SunEdison is "suffering under a collapsed stock price, multiple lawsuits, and an accounting investigation."

A Wall Street Journal report this week revealed that SunEdison is being investigated for overstating its cash position. SunEdison's shares fell more than 40% after the article was published Monday.

Since reaching a high of $30 per share in July, SunEdison's shares have tanked, closing at less than a dollar per share yesterday. The share price was at 57 cents today.

SunEdison's deal to acquire Vivint Solar for $2.2 billion fell apart earlier this month when Vivint terminated the agreement citing failure by SunEdison to meet its financial obligations.

SunEdison was required to secure bank financing in order to complete the buyout of Vivint, one of the largest providers of rooftop solar systems. Recent media reports suggest that banks were unwilling to provide financing for the deal, according to a report by Deutsche Bank.

SunEdison did not respond to a request for comment from Computerworld.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection

Tags technologygreenrenewable energy

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Lucas Mearian

Computerworld (US)
Show Comments

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

David Coyle

Brother PocketJet PJ-773 A4 Portable Thermal Printer

I rate the printer as a 5 out of 5 stars as it has been able to fit seamlessly into my busy and mobile lifestyle.

Kurt Hegetschweiler

Brother PocketJet PJ-773 A4 Portable Thermal Printer

It’s perfect for mobile workers. Just take it out — it’s small enough to sit anywhere — turn it on, load a sheet of paper, and start printing.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?