The Konstanz District Court opened insolvency proceedings over Sunways AG's assets on Tuesday.
According to the company, this decision was made as a result of the so-called "third-party insolvency application". The preliminary insolvency proceedings also apply to Sunways Production GmbH in Arnstadt, Germany. Thorsten Schleich has been appointed as the provisional liquidator. Information on how things will proceed and the impact on operations has not been announced.
Sunways, in which Chinese company LDK Solar holds majority share, have been struggling with declining sales and heavy losses. In April the company decided to lay off about half of its workforce. To add to the blow, just in April, the banks decided to cancel an $8.6 million credit.
The board of directors have been negotiating with the banks on a longer repayment period for the loans. The parent company LDK Solar is also in financial trouble and has not been able to pay back an overdue convertible bond.
Translated by Shamsiah Ali-Oettinger.
This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.
By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.
Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.
You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.
Further information on data privacy can be found in our Data Protection Policy.