Looks like Eddie is back to borrowing money to keep the lights on.
https://www.wsj.com/amp/articles/hps-investment-partners-to-loan-new-sears-800-million-11556750812
7 replies (most recent on top)
Despite having a credit score of minus 247 gajillion, there are s---ers still dumb enough to lend to Eddie.
Can someone say covert pyramid scheme?
It’s not more debt though, its the game he plays. Pays off the previous loan with another loan. You really think he’s gonna give them property? Heck no. In a few months he will pay off this credit line with an ESL loan then take out another with another bank. It’s shifty stuff. Next bank is like “oh he pays his loans we will give one”. The gambit will really be up when ESL runs out of cash or he can’t find another bank.
The bankruptcy was an anomaly, he was mad because he didn’t get Kenmore. He took a calculated gamble he indebted the company enough with secured debt to himself to win the bid. Same stuff he did with Kmart, he pulled it off twice.
Now as a private co he doesn’t have to report a thing, he will find a way to make a profit, issue new stock and make a billion $.
Here we go again....more debt to pile on the "new" company. Doing the same old c-ap from last time. He never learns.
@igr He is really just kicking the can down the road though. Since he doesn’t default doing it and always makes the payments then another bank loans him more cash. I doubt he’d have defaulted last year but he wanted Kenmore and the board wouldn’t play along. He probably took the calculated gamble he had enough secured debt that he’d win in court.
If you lend him money, that's your fault.
This is his financial engineering garbage, he borrows money to pay off a higher rate loan, then before it comes to terms borrows more to pay that one off.