September 3 (Renewables Now) - Danish fibre-based products manufacturer Roblon A/S (CPH:RBLN-B) has reached a standstill agreement with client Senvion SE (ETR:SEN) in relation to payment claims made after the struggling wind turbine maker failed to fulfil terms in an existing contract.
Senvion, whose main unit Senvion GmbH filed for self-administration in April, has in place a three-year project contract with Roblon that includes conditions for minimum purchase amounts in its first year -- between April 2018 and April 2019. After curtailing production at its blade factory, Senvion has not been able to meet those conditions, slapping Roblon with costs the latter estimates at USD 3.6 million (EUR 3.3m).
The standstill agreement will be effective until October 4, 2019, during which time Roblon will take no further legal action with respect to Senvion’s non-performance of the agreed purchases.
Roblon noted it has suffered “major losses” as a result of Senvion’s financial hurdles as it is one of the Danish company’s largest clients. It added that the outcome of the above mentioned agreement is for now “subject to significant uncertainty.”
(USD 1.0 = EUR 0.914)