HCHC - HC2 Holdings: One Year Later A Lot Of Operational Progress But Little Financial Progress

HC2 Holdings (HCHC:US) is an investment holding company founded in 2014 by Philip Falcone. After publishing a string of positive news for the stock in October 2018 (the initiative to explore “strategic alternatives” for Global Marine, the acquisition of GrayWolf Industrial for the construction business subsidiary and the breakthrough-status device granted to MediBeacon), I recommended going long the stock. However, a sudden tightening in capital markets in November coincided with HC2’s long-awaited debt refinancing, forcing the company to issue new debt at even higher costs and pushing the share price down, as investors were disenchanted