News / Ceva restructure to save cash 'needs to work' as fears grow over debt repayments

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UPDATE: The Loadstar apologizes for any inconvenience caused to CEVA Logistics resulting from the mistaken publication of a draft article written by The Loadstar’s financial columnist, which briefly appeared online. The published article represents the opinion of the columnist, although it also acknowledged that CEVA ...

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  • Sam

    March 20, 2015 at 11:23 am

    Why most talented people are leaving and who is staying ?
    Where are company pipeline wins ?
    Where is the culture that supports honest discussions ?
    Where are true leaders who listen and care about employees ?

  • Alessandro Pasetti

    March 20, 2015 at 2:12 pm

    I think those are all legitimate questions, Sam.

    In truth, the way it looks Ceva employees will likely have to pay a high price for poor management.

    All the best,

    Alessandro Pasetti

  • John

    March 22, 2015 at 7:18 pm

    You can have the greatest business, but if you pay
    so much for it that you have to pay much more money
    to the bank than you can make, you are dead in the
    water.
    The first time that this became critical was in 2012
    and the company tried to cut costs but destroyed the
    freight business. It did not help and the bondholders
    had to become shareholders.
    Now the company will probably have to sell off parts of the business
    to buy time. 2 billion debt, 2 billion cumulated loss,
    400 million loss. The debt is in dollars and the dollar
    continues to rise.

  • Sam

    March 23, 2015 at 11:05 pm

    I would question cluster appointments of leaders – on what basis – are they experienced turnaround managers with proven projects?
    I feel sorry for trapped shareholders – they need to throw more cash in down the road.
    Why does somebody need to buy this co when you can just pick up customers (you are not buying any asset and what goodwill do they have?)?

  • Gianfranco

    March 24, 2015 at 3:43 pm

    Sorry for the shareholders? The private equity made a lot of money. Buying junk bonds at 30 cents in the dollar and charging 12% interest to CEVA gives a return of 12/30 or 40% per year.

    Heads I win, tail you lose.

  • Alessandro Pasetti

    March 26, 2015 at 12:15 pm

    In fact, there’s little value in the equity, and most of its enterprise value, or take-out value in this instance, will be represented by net debt.

    Best,

    AP

  • Keith

    April 17, 2015 at 8:28 am

    I really hope that CEVA can ‘come out’ of their current finance situation fast…
    Really hope that all my ex-colleagues in CEVA is all well and good.

    After all, work & life balance.
    Be Happy and Healthy always!

    KP

  • Alessandro Pasetti

    April 17, 2015 at 8:44 pm

    Hi Keith,

    It’s hard to say what’s going to happen next (not sure you saw the recent announcement this week about additional disposals), but we obviously share your feelings.

    All the best,

    AP

  • Roberto

    August 06, 2015 at 4:26 pm

    I am curious about this “17 regional clusters” strategy. Can anyone tell me where these 17 clusters are located?

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