Monday, December 1, 2014

Update on Suntech Provisional Liquidation

"The JPLs have sought to progress the restructuring of the Company in conjunction with the Board together with the Liquidation Committee (“LC”) and initially attempted to negotiate a restructuring with Wuxi Guolian Development (Group) Co. Ltd (“Guolian”), however, for the reasons outlined in the JPLs’ Second Report to the Grand Court dated 25 April 2014 (the “Second Report”), Goulian withdrew from the restructuring process in February 2014. Both the Board and the LC have played an active role in providing feedback to the JPLs on the restructuring strategy.

In the absence of another external party willing to fund the restructuring of the Suntech Group, the JPLs, together with the Board and the LC have focused on reviewing the operations, future strategy and finances of the Company’s subsidiaries to determine whether a ‘self-restructuring’ could be achieved.

The JPLs have pursued a ‘self-restructuring’ strategy since the Second Report with the assistance of the Company’s stake holders; however, in consideration of the various matters discussed in detail throughout this report, it now appears that a ‘self-restructuring’ at the holding company level is unlikely.

Therefore, the JPLs have considered the appropriateness of the provisional liquidation and believe that the interests of the creditors may be best served by ending the provisional liquidation and placing the Company into Official Liquidation. This will allow an orderly wind down of the Company’s affairs, the realisation and recovery of Company assets and the pursuit of further actions that are not currently available to the JPLs under the powers granted to them within the Court Order. Furthermore, a restructuring of the operations of the Company’s subsidiaries, such as Global Solar Fund, S.C.A, Sicar (“GSF Fund”) can continue under an Official Liquidation."


Anonymous said...

CP, thanks for posting this press release. What is the source or where did you access this information? I do not see it on . Is this part of a filing in Cayman court?

Mr. Gotham said...

"Self restructuring" - Hmmm, how would you do that? Pretend you are the Fed and print up some money to pay your bills? More innovations from insolvent Chinese companies.

Anonymous said...

STP bonds are trading for $0.88 cents now.

Anonymous said...