Babcock Power halt Investors are bracing for the next chapter in the Babcock & Brown Power saga. The debt-heavy utility went into a trading halt yesterday citing "matters that are likely to have a material impact on BBP, including a revised outlook for BBP's business".
There is the chance it has attracted buyers for its power assets, put on the auction block amid growing uneasiness from BBP's banks providing a $2.7 billion debt facility. Another possibility could be a breach of debt covenants, analysts said. In March the company said its expected earnings could put pressure on its lending terms.
BBP Price at posting:
10.0¢ Sentiment: None Disclosure: Held
