Sunways prepares for liquidation

Any hope the holders of shares in troubled European solar manufacturer Sunways had of seeing value in their investment is fast receding after Friday’s announcement the company has started proceedings to withdraw from its main Frankfurt Stock Exchange listing.

A press release issued by the company – a European subisidiary of debt-crippled Chinese parent LDK Solar – on Friday, stated Sunways shares would be de-listed in Frankfurt and moves would be made to halt over-the-counter (OTC) trading in the stock on exchanges in Stuttgart, Munich, Hamburg, Düsseldorf and Berlin ‘as the corporation will not be continued but liquidated.’

The release predicted trading would stop in Sunways shares in ‘the second half’ of the year but itself effectively rang the death knell of any value in the stock.

The company release added Hoong Khoeng Cheong resigned as chairman of the management board of the company on Friday.

Sunways filed for insolvency on March 21 with proceedings starting on April 28, five days after the company announced an offer for its inverter business would not be enough to cover even a partial amount of the figure claimed by creditors.

Creditors have until June 10 to lodge claims with insolvency administrator Thorsten Schleich and the first creditors’ meeting is set down for July 9.