SunEdison Inc. (NYSE: SUNE) and its yield company TerraForm Power (NASDAQ: TERP) both delayed filing their annual report again, casing their shares plunged.
SunEdison, who previously extended its deadline of filing its 10-K to March 15, said on Wednesday that the company would again delayed reporting its earning result due to the discovery of “material weaknesses in its internal controls over financial reporting.” The material weaknesses are due to “deficient information technology controls in connection with newly implemented systems.” The company added.
The shares of the solar-energy company fell 1.44 percent to $2.05 at 3:05 P.M. in New York. The company had lost 91 percent of its market value over the past year. The company had a difficult to repay its debt and finance its projects and acquisition.
“SunEdison is going through a very difficult period of unwinding M&A deals and trying to deleverage," Raymond James analyst Pavel Molchanov said in an email to Reuters.
Vivint Solar Inc. terminated its merger agreement with SunEdison a week ago, saying that SunEdison couldn’t afford to buy it although it cut its bid in December.
TerraForm, one of SunEdison’s yieldcos, also said it would delay the filing of its annual report due to its management services arrangements with SunEdison. TerraForm said it hasn't identified any material misstatements or restatements in its previously reported financials.
TerraForm shares dropped 9 percent to $9.61 at 3:45 P.M. in New York.