Suntech in Europe has until Jun 2014 to restructure debt

Dec 13, 2013 - Chinese solar products maker Suntech Power Holdings Co Ltd (NYSE:STP) said Thursday that the Swiss judicial authorities had given its principal operating subsidiary in Europe a deadline until June 19, 2014 to restructure its debt.

Suntech Power International Ltd (SPI) secured a six-month extension to the definitive moratorium on creditor claims from the judicial authorities in Schaffhausen. In June 2013, the authorities granted the first six-month moratorium in relation to the over-indebtedness of Suntech's European arm, which had an option to be prolonged after that.

Most of the debt represents Suntech inter-company debt, the parent had said previously.

In China, solar power firm Shunfeng Photovoltaic International Ltd (HKG:1165) at the end of November received the thumbs-up by the Wuxi Intermediate People’s Court to buy troubled Suntech’s principal unit in China, Wuxi Suntech Power Holdings, for CNY 3 billion (USD 494m/EUR 359m). Wuxi Suntech entered insolvency proceedings and restructuring in March, soon after its parent failed to make the principal payment on a USD-541-million (EUR 393m) bond.

(USD 1.0 = EUR 0.727)
(CNY 1.0 = USD 0.165/EUR 0.120)

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