Yingli Has Officially Entered the Judicial Restructuring Process

Energy Press Releases Wednesday June 10, 2020 11:30
BAODING China--10 Jun--PRNewswire/InfoQuest

On June 9 EST, photovoltaic enterprise Yingli Green Energy Holding Co., Ltd. ("Yingli") (OTC Pink: YGEHY) announced that Baoding Municipal Intermediate People's Court has officially accepted the restructuring application of its subsidiary in China, namely, Yingli Energy (China) Co., Ltd. This means that the debt restructuring efforts over the last five years have officially entered the judicial restructuring phase. An administrator has been appointed to oversee the restructuring work, and it is expected that in the following months, a restructuring implementation plan will be formulated and binding through judicial decision. According to legal professionals, the initiation of the judicial process is essential to facilitate the effective implementation of the restructuring plan.

"With the joint efforts of relevant departments and major creditor banks, the direction and specific plans for the restructuring have been basically determined," said Yiyu Wang, CFO of Yingli Green Energy. Pre-restructuring stage tasks have been completed, such as the assessment, auditing, and the formulation and improvement of the restructuring plan. Creditors have reached a consensus that the restructuring plan will follow the principles of marketization and rule of law. The core contents of the restructuring plan include the conversion of a significant portion of the financial debts of Yingli's major PRC subsidiaries into controlling equity interests in the subsidiaries, full and orderly repayment of parts of financial debts and other payables, and fund injection of third-party platforms. Besides, there is a good chance that strategic investors will soon be introduced to further improve assets and cash position and enhance competitive advantages.

In order to promote a smooth restructuring, Yingli will actively cooperate with the court and the administrator in accordance with the law, fulfill its obligations, protect the legitimate rights and interests of all parties and communicate with related parties. Meanwhile, Yingli will also maintain regular production and operations and continue to undertake the existing orders and warranties of the subject of restructuring. The performance of labor contracts and salaries and benefits of employee will not be affected, and the legal rights and interests of suppliers and customers will be protected.

It is expected that after entering the restructuring period, Yingli will focus on the implementation of the restructuring plan, as well as the innovation of its business operations model, the optimization of capacity distribution, the upgrading of facility production lines, and the release of advanced technology reserves. The newly restructured Yingli will return to healthy development as its debt ratio is expected to drop to a medium or low level in the industry, and its cash flow will be greatly improved. Additionally, technological leadership and product competitiveness will be further enhanced to improve the stability and competitiveness of the industrial supply chain.


Latest Press Release

Air Products, ACWA Power and NEOM Sign Agreement for $5 Billion Production Facility in NEOM Powered by Renewable Energy for Production and Export of Green Hydrogen to Global Markets

The World's Largest Green Hydrogen Project Will Supply 650 Tons Per Day of Carbon-Free Hydrogen for Transportation Globally and Save the World Three Million Tons Per Year of CO2 Air Products, in conjunction with ACWA Power and NEOM, announced the...

Delta Provides Fastest DC EV Charger in Singapore to ComfortDelGro

Delta Electronics Int’l (Singapore), a provider of power and thermal management solutions, provided its first Delta Ultra Fast Charger in Singapore to leading land transport operator – ComfortDelGro. The fast charger unveiled on 1 July 2020...

Hitachi ABB Power Grids commences operations

Complementary portfolios and technology strengths to ensure continuity, enhance customer value and bring growth opportunities In accordance with the agreement signed on December 17, 2018, Hitachi Ltd. and ABB Ltd. have announced the completion of all...

Huawei Signs New Partnership with JJ-LAPP to Harness the Power of Solar

The partnership will see JJ-LAPP distributing Huawei's Smart PV solutions in a majority of the ASEAN countries. The demand for solar, especially in ASEAN's emerging markets, has been driven by the urgent need for energy. Solar Energy has been a key...

GCL SI Supports Floating Solar Power Plant in Persian Gulf

Research by the IHS Markit's Floating PV Report 2020 reveals recently that the floating solar power installations are set to jump by 143% from 2019 to hit more than 900 MW of annual capacity additions this year. GCL System Integration (GCL SI), is poised...

Related Topics