PCP and dental practices are much harder to roll up. The doctors start a competitor, and bring their patients, the second the non-compete ends wiping the practice that was bought

Highly doubt the conservative court rules against an American company in favor or a foreign owned entity.

All three of the companies involved are American companies

It’s a letter of credit not line of credit. It’s basically a certified check in a way.

This is super simple. Twitter put a deposit (think rental deposit) down on their lease in 2020. Instead of depositing $900k with the landlord they deposited 900k into a bank. In turn the bank issued a $900k letter of credit to the landlord who can use the funds in the same fashion a deposit could be used. This is done because LOCs are harder for other creditors to seize in bankruptcy court.

At some point Twitter stopped paying their rent and I’m sure there is a clause in the lease that allows the LL to draw down the letter of credit to pay the rent. Twitter also has an obligation the replenish the LOC.

So in other words, Twitter was in fact paying rent until the LOC ran out. Twitter now owes money to both the bank and the landlord?

It’s called a go dark clause. Fairly common in retail, not as common in office but it happens.

@dang - title should be changed.

Typically IPO approvals include a carve out that says this approval cannot bed used a defense in a SEC action. CB will still use it as an argument.

US has similar system called escrow that title companies (a third party) manages.

This is exactly an escrow in France, just that this is compulsory, and has to go though a special notary account (that is managed by the gov't)

Inflows from weaker banks will cause larger banks to increase lending activity as they accumulate dry powder. Banks are in the business of lending and having deposits burns a hole in their pants.

Who would you lend to in this macro?

I have a line of credit from them - will that terminate. The line of credit rate is dependent on me making deposits there and a min deposit.

Your deposits are insured by the FDIC, your money is safe. Your line of credit could be closed, but that is very unlikely.