Suntech bondholders win in court on USD-550,000 claim - report

Sep 13, 2013 - Two bondholders of Suntech Power Holdings Co Ltd (NYSE:STP) have won a legal dispute on a claim for USD 550,000 (EUR 414,000) in debt owed by the Chinese solar photovoltaics (PV) manufacturer, Bloomberg said today, citing the claimants' lawyer.

Jay Teitelbaum, the lawyer representing investors Trondheim Capital Partners LP and Michael Meixler, told Bloomberg on the phone that the US District Court in Manhattan had granted the investors’ motion for summary judgement on Thursday.

The legal case was launched in the New York State Supreme Court in Manhattan in June and a month later it was moved to the federal court. Investors demanded a pretrial ruling, seeking Wuxi Suntech, the company's main subsidiary in China, to pay USD 550,000 it owes them under the 3% convertible notes due 2013, plus interest, costs and court expenses.

In mid-March, Suntech failed to make the principal payment on a USD-541-million bond, touted as the first bond default for a China-based company. The company said at the time that investors holding over 60% of the notes had agreed not to take any measures until May 15.

(USD 1.0 = EUR 0.753)

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