SunEdison Inc. is trying again to hammer out a deal with creditors for a loan the renewable energy giant says it needs to avoid an immediate “fire sale” liquidation, Bloomberg reported yesterday. A hearing Thursday before U.S. Bankruptcy Judge Stuart Bernstein was halted after a hallway negotiation failed to completely resolve objections from creditors who said the company will probably liquidate even if it does get the $1.34 billion financing package. SunEdison will go before Judge Bernstein again today in an effort to avoid a frantic sell-off of its assets. With the so-called debtor-in-possession, or DIP, financing in place, a reorganization is possible, while a wind-down would be more orderly and bring better returns for creditors, the company has said in court filings. Creditors disputed how much new money the loan would actually bring the company, as opposed to just repackaging existing debt. They also bridled at the amount of control that SunEdison was ceding to the DIP lenders, saying it would give them exclusive rights to decide whether to liquidate the wind and solar energy developer as early as next week. The case is In re SunEdison Inc., 16-10992, U.S. Bankruptcy Court, Southern District of New York (Manhattan).
