Yingli to transfer to OTC Pink after NYSE delisting

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What was once the world’s largest solar PV module manufacturer has suffered a number of setbacks over the past few years, with bad news of repayment and arbitration requests escalating over the past few months.

In the latest blow, the NYSE informed Yingli on June 28 that it will be delisted from the stock exchange, “as it was not in compliance with the continued listing standards set forth in Section 802.01B of the NYSE Listed Company Manual due to its failure to maintain an average global market capitalization over a consecutive 30 trading-day period of at least $50 million and its stockholders' equity was less than $50,000,000.”

The Chinese manufacturer says it will not appeal the decision. As such, it is expected to begin trading on the OTC Pink on July 2 under the symbol, YGEHY.

While Yingli does not expect the transition to affect the legal rights of the holders of its American Depositary Shares (ADS), or its normal business operations, it did say it will cease to issue regular quarterly earnings.

The company will, however, remain subject to the public reporting requirements of the Securities and Exchange Commission as applicable to foreign private issuers.

The OTC Pink is the lowest of the three trading marketplaces – provided and operated by the OTC Markets Group – which isdescribed as “The Open Marketplace with Variable Reporting Companies.”

In April, Yingli released its very wobbly 2017 financials. Just weeks later, it revealed that a request for arbitration has been filed for US$897.5 million in payments due from one of its long term polysilicon suppliers. This was swiftly followed by news that it was being squeezed for another RMB 65.7 million (around US$10.6 million) in medium term notes, due from 2015 and 2016.

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