Exela notes drop on first-quarter earnings; CBL eyed after entering forbearance deal

By James McCandless

San Antonio, July 1 – As the holiday-shortened week neared its end, the distressed debt space was fixed on the tech and REIT spaces.

Exela Technologies, Inc.’s notes dropped after releasing its first-quarter earnings and rescinding its guidance for the rest of the year.

The 10% notes due 2023 moved down 3¼ points to close at 21½ bid.

About $12 million of the notes traded by the end of the afternoon.

After the close on Tuesday, the Irving, Tex.-based business software solutions company released its first-quarter earnings results.

The name reported a loss of 8 cents per share, wider than what analysts expected at a 5 cents per share loss.

Revenues were also under target at $365.5 million.

Meanwhile, REIT CBL & Associates Properties, Inc.’s issues varied after announcing a forbearance agreement with creditors.

The 5¼% senior notes due 2023 tacked on ¼ point to close at 29 bid. The 4.6% senior notes due 2024 declined 1¼ points to close at 27¾ bid.

Early Wednesday morning, the Chattanooga, Tenn.-based real estate investment trust announced that it had entered a forbearance agreement on its credit agreements and with holders of more than 50% of its operating partnership's 2023 notes.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.