Hanwha Q Cells to change ADS ratio

Hanwha Q Cells Co Ltd (NASDAQ:HQCL) said Monday the one of its American depositary shares (ADS) will represent 50 ordinary shares from June 15, 2015.

By comparison, one ADS currently equals five ordinary shares. In line with the transition, each Hanwha Q Cells shareholder will be required to exchange every ten ADS in possession for one new ADS on June 12.

The South Korea-based photovoltaic (PV) cell and module maker explained that the ratio change will have the same effect as a one-for-ten reverse ADS split. There will be no change to its underlying ordinary shares, the firm noted.

Last week, Hanwha Q Cells announced that its GAAP net loss per ADS has expanded to USD 0.03 (EUR 0.027) in the first three months of 2015 from USD 0.01 a year back as GAAP attributable net loss widened to USD 20.4 million. Still, the company returned to a first-quarter pre-tax profit of USD 4 million if the restructuring charge related to its recent merger are excluded from the calculation.

(USD 1.0 = EUR 0.911)

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