Tom Wagner and Ara Cohen‘s Knighthead Capital, has stepped up their interest in TerraForm Global Inc (NASDAQ:GLBL), one of SunEdison’s subsidiaries. As reported in a recently amended filing with the Securities and Exchange Commission, Knighthead Capital increased its holding to 7.28 million shares, from the 2.22 million shares it reported in its latest 13F filing. The fund’s current stake accounts for roughly 6.43% of TerraForm Global’s common stock and is activist by nature.
Sponsored by SunEdison, Inc, TerraForm Global Inc (NASDAQ:GLBL) owns and operates clean energy power plants around the world, which have a combined capacity of 917 megawatts (MW). With their parent currently under chapter 11 bankruptcy protection, TerraForm Global and its sister company TerraForm Power Inc (NASDAQ:TERP) are looking to sell themselves, but are also preparing to run as independent companies. On December 23, TerraForm Global reported fiscal first quarter results, posting a net loss of $4.6 million. The company registered $47.7 million in revenue and an adjusted loss of $0.12 per share. The stock is currently trading around the $4 level, down 28% for the year.
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TerraForm Global Inc (NASDAQ:GLBL) is not a very popular stock among the hedge funds followed by Insider Monkey. At the end of the 2016 third quarter, the stock could be found in the equity portfolios of 15 funds, down from 16 registered a quarter before. Together these funds held approximately 19.1% of the company’s common stock. Quentec Asset Management, led by Ken Hahn, held the largest stake among the funds we follow. According to its latest 13F filing, Quentec’s position amounted to 6.03 million shares valued at $24.8 million. Jonathan Barrett and Paul Segal‘s Luminus Management also held a significant position, having amassed 5.11 million shares worth $21 million at the end of September.
You can access the original SEC filing by clicking here.
Ownership Summary Table
Name | Sole Voting Power | Shared Voting Power | Sole Dispositive Power | Shared Dispositive Power | Aggregate Amount Owned Power | Percent of Class |
---|---|---|---|---|---|---|
Knighthead Capital Management | 0 | 7,280,000 | 0 | 7,280,000 | 7,280,000 | 6.43% |
Thomas A. Wagner | 0 | 7,280,000 | 0 | 7,280,000 | 7,280,000 | 6.43% |
Ara D. Cohen | 0 | 7,280,000 | 0 | 7,280,000 | 7,280,000 | 6.43% |
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Page 1 of 11 – SEC Filing
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Page 2 of 11 – SEC Filing
CUSIP No: 88104M101 | Page 2 of 11 Pages |
1 | NAMES OF REPORTING PERSONS | ||||
Knighthead Capital Management, LLC | |||||
2 | CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions) | (a) | ☐ | ||
(b) | ☒ | ||||
3 | SEC USE ONLY | ||||
4 | SOURCE OF FUNDS (SEE INSTRUCTIONS) | ||||
AF | |||||
5 | CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(D) OR 2(E) | ☐ | |||
6 | CITIZENSHIP OR PLACE OF ORGANIZATION | ||||
Delaware | |||||
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH | 7 | SOLE VOTING POWER | |||
0 | |||||
8 | SHARED VOTING POWER | ||||
7,280,000 | |||||
9 | SOLE DISPOSITIVE POWER | ||||
0 | |||||
10 | SHARED DISPOSITIVE POWER | ||||
7,280,000 | |||||
11 | AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON | ||||
7,280,000 | |||||
12 | CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (SEE INSTRUCTIONS) | ☐ | |||
13 | PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) | ||||
6.43% | |||||
14 | TYPE OF REPORTING PERSON | ||||
IA, OO | |||||
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Page 3 of 11 – SEC Filing
CUSIP No: 88104M101 | Page 3 of 11 Pages |
1 | NAMES OF REPORTING PERSONS | ||||
Thomas A. Wagner | |||||
2 | CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions) | (a) | ☐ | ||
(b) | ☒ | ||||
3 | SEC USE ONLY | ||||
4 | SOURCE OF FUNDS (SEE INSTRUCTIONS) | ||||
AF | |||||
5 | CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(D) OR 2(E) | ☐ | |||
6 | CITIZENSHIP OR PLACE OF ORGANIZATION | ||||
United States of America | |||||
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH | 7 | SOLE VOTING POWER | |||
0 | |||||
8 | SHARED VOTING POWER | ||||
7,280,000 | |||||
9 | SOLE DISPOSITIVE POWER | ||||
0 | |||||
10 | SHARED DISPOSITIVE POWER | ||||
7,280,000 | |||||
11 | AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON | ||||
7,280,000 | |||||
12 | CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (SEE INSTRUCTIONS) | ☐ | |||
13 | PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) | ||||
6.43% | |||||
14 | TYPE OF REPORTING PERSON | ||||
HC, IN | |||||
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Page 4 of 11 – SEC Filing
CUSIP No: 88104M101 | Page 4 of 11 Pages |
1 | NAMES OF REPORTING PERSONS | ||||
Ara D. Cohen | |||||
2 | CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (See Instructions) | (a) | ☐ | ||
(b) | ☒ | ||||
3 | SEC USE ONLY | ||||
4 | SOURCE OF FUNDS (SEE INSTRUCTIONS) | ||||
AF | |||||
5 | CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(D) OR 2(E) | ☐ | |||
6 | CITIZENSHIP OR PLACE OF ORGANIZATION | ||||
United States of America | |||||
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH | 7 | SOLE VOTING POWER | |||
0 | |||||
8 | SHARED VOTING POWER | ||||
7,280,000 | |||||
9 | SOLE DISPOSITIVE POWER | ||||
0 | |||||
10 | SHARED DISPOSITIVE POWER | ||||
7,280,000 | |||||
11 | AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON | ||||
7,280,000 | |||||
12 | CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (SEE INSTRUCTIONS) | ☐ | |||
13 | PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) | ||||
6.43% | |||||
14 | TYPE OF REPORTING PERSON | ||||
HC, IN | |||||
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Page 5 of 11 – SEC Filing
CUSIP No: 88104M101 | Page 5 of 11 Pages |
Item 1. | Security and Issuer |
Item 2. | Identity and Background |
(i) | Knighthead Capital Management, LLC (“Knighthead”); |
(ii) | Mr. Thomas A. Wagner (“Mr. Wagner”); and |
(iii) | Mr. Ara D. Cohen (“Mr. Cohen”). |
Item 3. | Source and Amount of Funds or Other Consideration |
Item 4. | Purpose of Transaction |
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Page 6 of 11 – SEC Filing
CUSIP No: 88104M101 | Page 6 of 11 Pages |
Item 5. | Interest in Securities of the Issuer |
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Page 7 of 11 – SEC Filing
CUSIP No: 88104M101 | Page 7 of 11 Pages |
Item 6. | Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the Issuer. |
Item 7. | Material to be Filed as Exhibits. |
Exhibit A: | Joint Filing Agreement, dated December 27, 2016 |
Exhibit B: | Schedule of Transactions |
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Page 8 of 11 – SEC Filing
CUSIP No: 88104M101 | Page 8 of 11 Pages |
Knighthead Capital Management, LLC | ||
By: | /s/ Thomas A. Wagner | |
Name: | Thomas A. Wagner | |
Title: | Managing Member | |
Thomas A. Wagner | ||
/s/ Thomas A. Wagner | ||
Ara D. Cohen | ||
/s/ Ara D. Cohen |
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Page 9 of 11 – SEC Filing
CUSIP No: 88104M101 | Page 9 of 11 Pages |
Knighthead Capital Management, LLC | ||
By: | /s/ Thomas A. Wagner | |
Name: | Thomas A. Wagner | |
Title: | Managing Member | |
Thomas A. Wagner | ||
/s/ Thomas A. Wagner | ||
Ara D. Cohen | ||
/s/ Ara D. Cohen |
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Page 10 of 11 – SEC Filing
CUSIP No: 88104M101 | Page 10 of 11 Pages |
Transaction Date | Entity Transacting | Transaction Type | Quantity | Price | How Transaction Effected |
12/16/16 | Knighthead Master Fund, LP | BUY | 1,690,981 | $3.60 | Open Market |
12/16/16 | Knighthead (NY) Fund, LP | BUY | 224,408 | $3.60 | Open Market |
12/16/16 | Knighthead Annuity & Life Assurance Company | BUY | 264,611 | $3.60 | Open Market |
12/15/16 | Knighthead (NY) Fund, LP | BUY | 9,239 | $3.6406 | Open Market |
12/15/16 | Knighthead Annuity & Life Assurance Company | BUY | 10,893 | $3.6406 | Open Market |
12/15/16 | Knighthead Master Fund, LP | BUY | 79,868 | $3.6406 | Open Market |
12/12/16 | Knighthead Master Fund, LP | BUY | 27,954 | $3.79693 | Open Market |
12/12/16 | Knighthead Annuity & Life Assurance Company | BUY | 3,813 | $3.79693 | Open Market |
12/12/16 | Knighthead (NY) Fund, LP | BUY | 3,233 | $3.79693 | Open Market |
12/09/16 | Knighthead Annuity & Life Assurance Company | BUY | 10,135 | $3.89722 | Open Market |
12/09/16 | Knighthead Master Fund, LP | BUY | 74,249 | $3.89722 | Open Market |
12/09/16 | Knighthead (NY) Fund, LP | BUY | 8,588 | $3.89722 | Open Market |
12/08/16 | Knighthead Master Fund, LP | BUY | 130,838 | $3.85767 | Open Market |
12/08/16 | Knighthead Annuity & Life Assurance Company | BUY | 17,839 | $3.85767 | Open Market |
12/08/16 | Knighthead (NY) Fund, LP | BUY | 15,136 | $3.85767 | Open Market |
12/07/16 | Knighthead Annuity & Life Assurance Company | BUY | 25,011 | $3.90746 | Open Market |
12/07/16 | Knighthead (NY) Fund, LP | BUY | 23,242 | $3.90746 | Open Market |
12/07/16 | Knighthead Master Fund, LP | BUY | 200,632 | $3.90746 | Open Market |
11/18/16 | Knighthead (NY) Fund, LP | BUY | 18,478 | $3.87714 | Open Market |
11/18/16 | Knighthead Master Fund, LP | BUY | 159,729 | $3.87714 | Open Market |
11/18/16 | Knighthead Annuity & Life Assurance Company | BUY | 21,893 | $3.87714 | Open Market |
11/18/16 | Knighthead (NY) Fund, LP | BUY | 46,174 | $3.90 | Open Market |
11/18/16 | Knighthead Master Fund, LP | BUY | 399,118 | $3.90 | Open Market |
11/18/16 | Knighthead Annuity & Life Assurance Company | BUY | 54,708 | $3.90 | Open Market |
11/18/16 | Knighthead (NY) Fund, LP | BUY | 46,174 | $3.8444 | Open Market |
11/18/16 | Knighthead Master Fund, LP | BUY | 399,118 | $3.8444 | Open Market |
11/18/16 | Knighthead Annuity & Life Assurance Company | BUY | 54,708 | $3.8444 | Open Market |
11/10/16 | Knighthead (NY) Fund, LP | BUY | 20,768 | $4.0331 | Open Market |
11/10/16 | Knighthead Master Fund, LP | BUY | 179,617 | $4.0331 | Open Market |
11/10/16 | Knighthead Annuity & Life Assurance Company | BUY | 24,615 | $4.0331 | Open Market |
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Page 11 of 11 – SEC Filing
CUSIP No: 88104M101 | Page 11 of 11 Pages |
Transaction Date | Entity Transacting | Transaction Type | Quantity | Price | How Transaction Effected |
11/10/16 | Knighthead Master Fund, LP | BUY | 342,650 | $3.97803 | Open Market |
11/10/16 | Knighthead (NY) Fund, LP | BUY | 39,618 | $3.97803 | Open Market |
11/10/16 | Knighthead Annuity & Life Assurance Company | BUY | 46,957 | $3.97803 | Open Market |
11/09/16 | Knighthead Master Fund, LP | BUY | 35,915 | $3.63442 | Open Market |
11/09/16 | Knighthead Annuity & Life Assurance Company | BUY | 4,940 | $3.63442 | Open Market |
11/09/16 | Knighthead (NY) Fund, LP | BUY | 4,150 | $3.63442 | Open Market |
11/07/16 | Knighthead Annuity & Life Assurance Company | BUY | 1,078 | $3.7023 | Open Market |
11/07/16 | Knighthead Master Fund, LP | BUY | 7,994 | $3.7023 | Open Market |
11/07/16 | Knighthead (NY) Fund, LP | BUY | 928 | $3.7023 | Open Market |
11/03/16 | Knighthead Annuity & Life Assurance Company | BUY | 11,261 | $3.62546 | Open Market |
11/03/16 | Knighthead Master Fund, LP | BUY | 35,057 | $3.62546 | Open Market |
11/03/16 | Knighthead (NY) Fund, LP | BUY | 3,682 | $3.62546 | Open Market |
11/02/16 | Knighthead Master Fund, LP | BUY | 41,452 | $3.57917 | Open Market |
11/02/16 | Knighthead (NY) Fund, LP | BUY | 4,852 | $3.57917 | Open Market |
11/02/16 | Knighthead Annuity & Life Assurance Company | BUY | 8,042 | $3.57917 | Open Market |