Value Investing News

Capital structure arbitrage is a strategy used by many directional, quantitative, and market neutral credit hedge funds.  In essence, it is going long one security in a company's capital structure while at the same time going short another security in that same company's capital structure....

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Here is what we are reading this weekend at Distressed Debt Investing

Fairholme Funds' 2011 Portfolio Manager Report [via Fairholme Funds] (Editor Note / Disclosure: I have a position in FAIRX)

General Maritime's Chapter 11 Disclosure Statement [General Maritime Docket]

Interesting...

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In the past few years, we have promoted a number of fantastic events at U Penn's Wharton School.  This year is no exception:  On February 17th, Wharton is hosting their 2012 Wharton Restructuring and Turnaround Conference. The title of this year's conference is particularly relevant: "The...

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Last night, Akin Gump, as attorneys for the ad hoc group of second lien note holders of Eastman Kodak, filed the ownership of Eastman Kodak securities for its members under Bankruptcy Rule 2019.  I have written about Rule 2019 in the past and I expect a more detailed post coming from one of...

Before I begin, I'd like to thank CNBC for recognizing Distressed Debt Investing as one of today's best alternative financial blogs. For those interested, you can view the entire list here: CNBC's Best Alternative Financial Blogs

On a number of posts in the past, I have tried to...

I wanted to give readers a quick reminder about the Global Distressed Debt Investing Summit coming up on February 8th here in New York City.  I also wanted to announce that Distressed Debt Investing contributor, Josh Nahas of Wolf Capital Advisors will be speaking on the panel...

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So, things change fast apparently.  A little over a week ago I wrote that: "On the credit side, things feel pretty customary on the new issue front. High yield and bank debt deals are not 3-5x oversubscribed like they are in "go-go" markets.  There has been a pretty good amount of supply...

A few months ago, I asked volunteers for writers for the blog as we expand our coverage of all things distressed.  We have three writers that have volunteered - one that will focus on structured finance concepts and two that will focus on legal concepts. In addition, I am looking for two...

A few weeks ago, contributing author Rodney McFadden introduced readers to the DIMEQ security (Dime Litigation Tracking Warrants).  He ended his post with this:

"The max upside in this case for DIMEQ that would result from being classified as a Class 12 GUC claimant or an equitable...

A few years ago, I introduced readers to Sahm Adrangi who, in 2009, launched Kerrisdale Capital. Sahm found an incredibly lucrative niche: being one of the first fund investors to aggressively short Chinese frauds, a strategy that has produced a whopping 588% net return to investors since...

As expected, Buffets ("the Company") filed a prepackaged plan of bankruptcy earlier today with support of 83% of its senior lenders. Buffets operates the Old Country Buffet, HomeTown Buffet, Ryan's, and Fire Mountain restaurant brands with approximately 500 restaurants across the country. For those...

Today, Zerohedge posted Greenlight's 2011 4Q letter which I've embedded below.  For those wanting the juicy details, Greenlight's 5 largest long positions were: Apple, General Motors, gold, Market Vectors Gold Miners, and Microsoft.  The two new positions he invested in during the quarter...

Here are some of the things we are reading over the long weekend here at Distressed Debt Investing.  Enjoy!

Pivot Capital Management's Presentation on China [via Frankly Speaking]

A post from December on Jeffrey Gundlach's DBLTX [Economic Musings Blog]

Weil Gotshal Looks Back at...

On February 8th, the 3rd Global Distressed Debt Investing Summit will take place here in New York City. There looks to be a very strong group of presenters from buy side shops such as Littlejohn & Co., Octagon, Versa Capital,  Karsch Global Credit, and Avenue Capital.  The panels look...

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Yesterday, I mentioned that one of the ways I find distressed debt ideas to research is via the price action.  Here is a chart of Petroplus' 7% bond due 2017:

In the painfully slow, last week of the 2011, Petroplus ("the Company") announced that its revolving credit lenders froze...