Embattled German solar developer S.A.G. Solarstrom has managed to convince a bank of its creditworthiness despite its liquidity problems, securing a 1.5 million (US$2 million) bridging loan to tide the company over for three months.
Solarstrom filed for insolvency in December, blaming delayed sales of solar projects in its domestic market and Italy, as well the late payment of a loan made to an Italian project company.
The Freiburg-based developer insisted the three-month insolvency period would allow it to come out of its cashflow crisis and restructure in a manner which would preserve the jobs of its 191 employees.
The company announced yesterday it had secured the loan which as a debtor-in-possession contract gives the lender pre-eminent status over other creditors from Sparkasse Freiburg.
In an announcement to investors, Solarstrom said the money would enable it to complete the delayed German and Italian project sales, complete its restructuring and search for investors ‘without any time pressure.'
The developer said it anticipates the project sales and the payment of the loan given to the Italian company to generate a low double-digit-million-euro figure by the end of June.
Popular content
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.
Share
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.