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  "documentTitle": "Burford Capital Ltd. (BUR LN)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
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  "presentationDate": "2019-08-07 00:00:00",
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      "text": "When looking at BUR's solvency through this methodology, BUR has negative equity of -$358.9 million relative to the adjusted capital base.",
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      "text": "Operating costs analysis and adjustments regarding GKC expenses and staff costs.",
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      "text": "Financing costs analysis including interest expense and dividends.",
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      "text": "equity: -$358.9 million",
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      "text": "BUR is arguably insolvent. If subtracting BUR's funded debt balance of $637.8 million from the adjusted capital base, there is only a $243.1 million cushion. However, BUR has future balance sheet litigation commitments of $708.2 million.",
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      "text": "We believe BUR is at high risk of having a liquidity crunch. We consider the $880.3 million to be the capital base that must generate returns to fund BUR's operating expenses, financing costs, and ongoing investments.",
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      "text": "108 $89 million overall operating expenses, minus $15 million GKC expenses. 109 As of H1 2019. 110 Burford Capital H1 2019 Interim Report, p. 46.",
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