The joint liquidators of former solar giant Suntech have started chapter 15 bankruptcy proceedings in the U.S.
Having been granted a provisional liquidation in the Cayman Islands base where the company is registered, the liquidators are attempting to have that decision recognized in the U.S. and have started proceedings in a federal court in the Southern district of New York.
In a statement announcing the move, published on Suntech's website on Saturday, joint liquidator David Walker said the move would protect Suntech from actions brought by U.S. creditors and was a necessary part of the company's restructuring plans.
Suntech last month negotiated with the holders of U.S. notes seeking to force it into involuntary bankruptcy through the New York court, persuading the noteholders to abandon the action.
Shortly after announcing the deal with its U.S. creditors, Suntech secured a judgement from the judicial authorities in Singapore that its Suntech Singapore subsidiary to be transferred to Chinese rival Shunfeng Photovoltaic International as part of a takeover of Suntech's main Wuxi manufacturing division owes the liquidated parent company US$264 million.
The liquidators also stated they will be closely examining the terms of the Shunfeng takeover of the parent company's equity interest in Wuxi Suntech and subsidiaries in Singapore and Japan.
This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.
By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.
Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.
You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.
Further information on data privacy can be found in our Data Protection Policy.