January 25, 2016 / 11:42 PM / 3 years ago

CORRECTED-UPDATE 1-Einhorn's Greenlight seeks sale of solar company SunEdison (Jan 25)

(Corrects fourth paragraph of Jan. 25 story to say Greenlight Capital’s stake in SunEdison is 6.8 pct, not 4 pct; drops incorrect reference to Einhorn holding 4 pct stake)

Jan 25 (Reuters) - David Einhorn’s hedge fund Greenlight Capital said it has been in talks with SunEdison Inc regarding a board seat and that it is looking to sell the solar company’s assets or even the company itself.

SunEdison has been under pressure from investors and hedge funds, including Appaloosa Management LP, who are against the solar company’s decision to buy Vivint Solar Inc’s assets.

Shares of SunEdison, valued at about $840 million, rose 1 percent in extended trading on Monday. They have plummeted 91 percent since the Vivint deal was announced in July last year.

Greenlight had a 6.8 pct stake in SunEdison as of Jan. 15, according to a regulatory filing on Monday.(1.usa.gov/1ZZKLsg)

Greenlight said it held talks with SunEdison between Jan. 15 to Jan. 25 regarding a board seat and changes in the company’s senior management team.

No agreement has been reached, the hedge fund said.

Einhorn lost 20.6 percent in 2015 as a bet on SunEdison cratered in November, extending Greenlight’s losses.

The Wall Street Journal reported on Sunday that SunEdison would give Greenlight a board seat. (Reporting by Anet Josline Pinto and kanika Sikka in Bengaluru; Editing by Savio D’Souza)

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