Letter to Mr. Singh – Rolta’s Restructuring Support Agreement Announcement

Distressed Debt 1 has written a letter (below) to Mr. Singh of Rolta  in response to their latest announcement of a Restructuring Support Agreement.  View the full letter by clicking the link below.   View the Full Letter Here   Read Our Response to Rolta’s Announcement of a Restructuring Support Agreement   For more information or questions concerning Rolta or the Distressed Debt 1 Hedge Fund, please ask here and we will try to get back to you shortly. Always putting your interests first, Randy Durig Registered Investment Advisor DIR  971-732-5119 A+ Rating with the BBB! Fixed-income2.com |Durig.com| Distressed Debt 1 Hedge Fund 

In Response to Rolta’s Restructuring Support Agreement

        In Response to Rolta’s Restructuring Support Agreement  Announced February 13th, 2018 Rolta (NSE: ROLTA) has recently announced the signing of a new Restructuring Support Agreement (RSA) in which Senior Bondholders could essentially receive a worst case remittance of principle at 53 cents on the dollar.  Even worse, Rolta has failed to remit or even address the years of unpaid accrued interest owed to bondholders on their defaulted senior notes, which is now close to 20 cents per dollar of bond principle.  This whole time, stockholders that are legally in line behind debt holders have felt no pain. We also found the language Rolta used in their offer to be very devious, where many might get the wrong impression and consider this a done deal.   An example Read More …

Why Small Hedge Funds Have Historically Outperformed Their Larger Brothers – An Analysis by Distressed Debt 1 Hedge Fund

                    Historically, smaller hedge funds have fared better during periods of financial stress than large hedge funds Two thirds of global hedge fund assets are managed by only the top 6% largest of all hedge funds Numerous studies have found that, over time, smaller hedge funds & emerging managers outperform the returns of larger hedge funds & established managers   With the largest hedge funds (those with AUM ≧ $1 Billion) managing an estimated 90% of the roughly $3 Trillion in global hedge fund assets (1), one may begin to wonder if there is too much money chasing too little talent.  To put this figure into perspective, there are fewer than 400 hedge funds considered to be “large”, while there are Read More …

Distressed Debt 1 – HedgeCo Top Ranked CAGR of 41.46 % with a Negative Beta of -0.69

February 2018 DD1 Tear Sheet We are up 4.83 in the first 2 months month of 2018. . Distressed Debt 1 had a negative beta of  -0.69 Distressed Debt 1 had a Alpha of 3.95 .. See Distressed Debt 1 current presentation. .. On 3-8-2018 we were the ranked as the top CAGR performing Hedge Fund in the nation by HedgeCo.net out of a data base of 9000 . For more information or questions concerning Distressed Debt 1 (DD1) please ask here, and we will try to get back to you shortly.

Cumulus Media’s Restructuring Proposal Unfairly Favors Banks – An Analysis By Distressed Debt 1 LP Hedge Fund

We at Distressed Debt 1 LP, and Durig Fixed Income 2, would like to present an explanation of the underlying issue with Cumulus Media (CMLS) current restructuring proposal, as we see it. First let’s get an understanding of its valuation. Last quarter’s EBITDA for Cumulus Media was reported at $61.8 million.  Radio media companies historically trade above ten times EBITDA, especially for those growing profits.  Since the new management has been involved, the company’s bottom line is growing.  So, we will use a simple 10x’s multiple.  As the run rate of last quarter’s EBITDA was $61.8 million, multiplying times 4 quarters, times ten,  gives an enterprise valuation estimate of around $2,472 million. There are two debt issues outstanding, the first being $1,728 million in notes, and the other being $610 Read More …