Troubles continue to mount for SunEdison (SUNE) as investors await official word on its financial standing.
The beleaguered Missouri-based renewable energy company appears to have skipped an interest payment due April 1 on its 2% convertible note maturing in 2018 and has entered a 30-day grace period, according to data provided by Bloomberg. Representatives from SunEdison did not immediately respond to requests for comment.
SunEdison also has an interest payment on its 2.375% convertible notes coming due Friday. Its ability to make payment on this note is questionable given the apparent skipped payment on the 2% convertible note as well as broader concerns that the company may soon be seeking bankruptcy protection.
SunEdison has twice delayed filing its 10-K for 2015 and has not given any indication on when it plans to file. The omission is even more glaring as first-quarter earnings season is under way and SunEdison has yet to report its fourth-quarter earnings. SunEdison's yieldco, TerraForm Global (GLBL), which relies on SunEdison for reporting, said via a filing with the Securities and Exchange Commission that one of its creditors gave it an extension to file its financial statements by April 30.
Delays in releasing financials are believed to have put SunEdison in technical default on $1.4 billion of its debt. The covenants on those instruments, a $725 million second-lien credit facility and $716 million in outstanding letters, require SunEdison to release audited financial statements within 90 days of the end of its fiscal year.
It is not known if SunEdison was able to obtain waivers on those agreements; however, Debtwire reported last month that SunEdison is in talks with creditors on those agreements to obtain debtor-in-position financing, which is typically used by companies going through a Chapter 11 or similar restructuring process.
Meanwhile, SunEdison is also subject to investigations by the Justice Department and SEC tied to its failed acquisition of Vivint Solar (VSLR) as well as SunEdison's transactions with its yieldcos.
For more on SunEdison's financial struggles, check out this timeline Real Money prepared.