SunEdison's "yieldcos" delay filing quarterly reports again

AlTi Global

10/11/2016 22:31

Nov 10 (Reuters) - TerraForm Power Inc  TERP.O  and 
TerraForm Global Inc  GLBL.O , the "yieldcos" of bankrupt solar 
company SunEdison Inc  SUNEQ.PK , said on Thursday they would 
delay filing their third-quarter earnings reports. 
    Both companies are yet to file their annual reports for the 
year ended Dec. 31, their first-quarter and second-quarter 
reports. (http://bit.ly/2fBakf6) (http://bit.ly/2fB8oDq) 
    TerraForm Power and TerraForm Global have said they had 
identified "material weaknesses" in their internal controls over 
financial reporting and that they would have to implement more 
controls and procedures to finalize financial statements for the 
2015 annual report.  
    SunEdison has also delayed its annual, first-quarter and 
second-quarter filings after identifying "material weaknesses" 
in its financial reporting, primarily related to problems with a 
newly implemented IT system. 
    The company has also said it was conducting an internal 
investigation into its financial position.     
    TerraForm Power and TerraForm Global said in September they 
were exploring strategic alternatives, including a sale of their 
entire business.     
    Brookfield Asset Management  BAMa.TO , which in June 
expressed interest in acquiring SunEdison's stake in TerraForm, 
said in regulatory filing earlier in the day that it had met 
with the companies and their advisers to discuss possible deals. 
    One option discussed was Brookfield replacing SunEdison as 
sponsor of the units, purchasing Class A and Class B from 
stockholders and the yieldcos remaining listed entities. 
    Alternately, Brookfield would purchase 100 percent of the 
companies for cash. 
    However, Brookfield said nothing was agreed and no specific 
prices were discussed at the meeting.     
    "Yieldcos" are publicly traded units that hold renewable 
energy assets, including those bought from the parent company. 
 
 (Reporting by Arathy S Nair in Bengaluru; Editing by Sriraj 
Kalluvila) 
 ((arathys.nair@thomsonreuters.com;  within U.S. +1 646 223 
8780, outside U.S. +91 80 6749 3863; Reuters Messaging: 
arathys.nair.thomsonreuters.com@reuters.net)) 
 
Keywords: TERRAFORM RESULTS/