Solar Millennium liquidator confident of investor payout16. May 2012 | Top News, Industry & Suppliers, Markets & Trends | By: Becky Stuart
Solar Millennium AG’s liquidator, Volker Böhm is confident that those who invested in the company will receive compensation. However, the amount repaid will depend on whether yet to be completed projects can be sold.
According to German news agency, dapd, Böhm has promised that the 16,000 bondholders will receive partial compensation. "It will give a payout to investors," he said on the sidelines of a creditors meeting, held yesterday, May 15, in Erlangen, Germany. He would not name any quotas, however, it was learned at the non-public event that it up to 10 percent of each invested sum could be returned.
Whether two of Solar Millennium’s not yet completed projects can be sold will also play a role in how much the bondholders will be repaid. "I am optimistic that we can bring them to completion," continued Böhm. It could take up to five years to complete the insolvency proceedings, he added.
Furthermore, he said, it still has to be checked whether liability claims can be made against the company’s former leadership, or even if they had been involved in criminal activity.
Reportedly, the bondholders have invested almost €227 million in so-called bearer bonds in Solar Millennium, and are said to be the largest group of creditors. The funds were used towards the company’s solar projects.
Overall, continued dapd, the amount payable to all creditors, including banks and suppliers, is around €300 million. This compares to expected revenues of over €25 million, including up to €7 million in cash.
It was announced yesterday that a class action lawsuit has been filed against Solar Millennium at Germany's Nürnberg-Fürth district court. Eighteen plaintiffs, who invested a total of €315,000 worth of bearer bonds in the solar company, are said to be represented in the lawsuit.
At yesterday’s meeting, around 530 of the 16,000 bondholders were represented. A second meeting is planned for June 4.
Choose between a digital and print subscription from pv magazine publisher Solarpraxis AG’s online shop!
- 2105 views
- 2061 views
- 1921 views
- 1876 views
- 1428 views
Opinion & analysis
Read our new guest article on India's new solar policies from NPD Solarbuzz.
Want to publish your press releases for free? Simply log in or register, enter the information you want to appear and we'll publish it for you!