FormerXBC Inc XEBEQ

BNC & EDC screwup the investors and creditors/customers

[GolfMania1968]

BNC and EDC are only owed 7M$ and 15M$ in secured debt and cut all financing to Xebec. The company will be sold in pieces for much more than that. Based on recent financials - The services Network is worth 25-30M$ based on annualized EBITDA (4M$). Xebec System USA and Tiger were profitable businesses that could survive by themself and were probably worth another 20-25M$. The Biostream and Hygear design and other patents are valuable.  It is much more than what is owed to the Banks.

By calling up the loan without providing real interim support under bankruptcy (3M$ is a joke), we will have forced sales with heavy rebates. There is good money to be made by the buyers. Who will pay for all of that?: Creditors, Customers (Deferred revenues increase and Deposit), and Investors.

The banks will get out untouched. The professionals will earn big fees.

It could have been done better, 

Chow

[Gann999]

A lot of things could have been done better by xebec as well like not continuously lose horrendous amounts of money on unprofitable legacy contracts while simultaneously spending every dollar they had on buying companies they couldn't afford to own or integrate. Don't blame the banks for calling them on their nonsense promises of being able to run a profitable business. Is this Brandon

[Hesiod07]

NBF and EDC appear to have acted in bad faith by declining interim financing before the end of September and then providing the $3 million three weeks later. Should they be the object of a class-action suit? Please comment. 

[LyChauncey]

They are not supposed to play vulture tactics. BNC is supposed to provide stability to Candian financial system and EDC is supposed to help the growth potential of Canadian economy. Their action towards Xebec Adsorption Inc. here damaged almost all stakeholders. Those who gained substantial value from this action should be investigated and sued.

[Hesiod07]

Do you see the fees NBF is charging? It would take months to justify the fees the judge has agreed to for any reckoning of years' interest. Some junior banker has reckoned that it's more profitable for his P/L to put the company into bankruptcy given their take of the spoils.

[Marcello]

What are the chances of a complete buy out of one investor or and total refinancing if you have any idea. Thanks Mr. Chow