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I wonder why or perhaps how SUNE became a hedge fund hotel? Does it have anything to do with the factors you mentioned making it more "attractive" to certain types of hedge funds?

"Mr. Einhorn is not the only one to have suffered a blow from SunEdison last year. And he is not the only voice to go up against the company, which has become a so-called hedge fund hotel, with more than 160 hedge funds in the stock in September, according to report by the research firm Novus."

http://www.nytimes.com/2016/01/28/business/dealbook/david-ei...




It might have to do with increasing state subsidies for and regulations requiring renewable energy[1] as well as major, image-sensitive investors like CalPERS wanting to get rid of their fossil fuel holdings. These could both increase the price of SUNE et al relative to a straight business fundamentals value.

[1]: e.g. http://www.latimes.com/politics/la-pol-sac-jerry-brown-clima...




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