Business

Goldman Sachs Intends to Credit-Bid For Limetree Bay Thursday

There's a possibility that the Limetree Bay Refinery would be dismantled and its useful portions sold to other companies while the remainder would be used for scrap, if Goldman Sachs — which during a Monday court hearing stated its intention to credit-bid the facility for $50 million during the upcoming auction on Thursday — were to win the bid. The surprise move threatens St. Croix Energy's $20 million stalking horse bid for the facility sitting on St. Croix's south shore. The Goldman Sachs bid would not be actual cash, instead the company would bid debt that is owed to it by Limetree Bay Refinery. Another credit bid could be introduced by Arena Capital, the Debtor in Possession, or DIP lender, however the company's $19 million bid would be inferior to St. Croix Energy's $20 million. Monday's developments changed the outlook for potential outcomes. On Sunday, St. Croix Energy was the only qualified firm bidding on the bankrupt refinery and was named the stalking horse bidder. A stal...