Singyes threatens to pursue winding up costs against Deutsche Bank

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Troubled solar manufacturer and project developer Singyes Solar has hit back at Deutsche Bank after the Hong Kong branch of the German lender issued a winding up petition against the Chinese company.

In a statement issued to the Hong Kong stock exchange where it is listed, Singyes said it is disputing the US$6.27 million which Deutsche Bank says the solar developer and building-integrated PV (BIPV) manufacturer owes it.

Singyes is hoping to convince the holders of almost US$430 million of defaulted senior notes and convertible bonds to agree to forestall payment of the debts by accepting new three-year notes as it awaits a HK$1.55 billion (US$198 million) bail-out from Chinese state-owned entity Water Development (HK) Holding Co Ltd.

Deutsche Bank’s move threatens that plan and would effectively halt efforts to save the company, as Singyes hinted in the circular released yesterday. The Guangdong-based company said it is taking legal advice about attempting to recover the costs incurred by fighting the winding-up petition from Deutsche Bank.

The petition is due to be heard in the Hong Kong High Court on October 2.

Fellow solar developer Comtec Solar confirmed yesterday it will present its first-half results on August 30. The Shanghai company is being forced to consolidate its shares after its stock value fell near the HK$0.01 minimum price permitted on the Hong Kong exchange.

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