W Holdings Takes Hit On Inyx Bankruptcy

July 19, 2007

W HoldingsW Holdings (ticker WHI) market cap took a half billion dollar bath after its loan to Inyx (ticker IYXI) turned out to have been a classic lending debacle, where good money is thrown after bad. Its Puerto Rican subsidiary Westernbank is the biggest lender to Inyx, and recently filed for receivership of Inyx’s U.K. unit, which is equivalent to a chapter 11 in the U.S. Inyx responded by placing its U.S. businesses into chapter 11, sending its stock to penny levels.

Inyx got started when the wife of Armenian-Canadian businessman and Inyx CEO Dr. Jack Kachkar acquired a public shell company with the intention of Read the rest of this entry »