The planned disposal in excess of a 3rd for the Chinese company that is solar task portfolio would simply just take a substantial amount away from its financial obligation hill but trading in business stock was halted today, pending a statement in terms of the task sale. Shunfeng sold down German PV project monitoring company meteocontrol to another procedure owned by its primary shareholder at the conclusion of this past year.
Shunfeng is among the Chinese solar developers shuffling across the cash in an attempt to keep carefully the wolf through the home.
Chinese company that is solar Overseas Clean Energy announced a halt in trading with its stocks this early early early morning, pending a statement associated with a fire purchase of around 540 MW of the solar task ability.
The business has received a busy period from it since our final up-date in-may just last year whenever the level of their financial obligation hill had been revealed in its full-year numbers for 2018.
Since that time, a proposed sale of its Jiangsu Shunfeng Photovoltaic tech Co Ltd to a small business owned by Shunfeng major shareholder Cheng Kin Ming has helped ease some issues therefore the business now aims to downer down 11 of the Chinese solar task businesses to earn benefits well well worth another RMB1.63 billion (US$232 million).
Wuxi Suntech and meteocontrol
The purchase of Jiangsu Shunfeng into the Asia Pacific Resources Development Investment Ltd company owned by Chen Kin Ming in December raised a sudden RMB200 million to repay RMB24.7 million debts owed by Shunfeng to Shanghai Dazong Financial Leasing Co Ltd, COSCO Shipping Leasing Co Ltd and Cinda Financial Leasing Co Ltd and in addition paid other debt interest of RMB110 million along with settling payables worth around RMB65.7 million.
The Jiangsu Shunfeng purchase – which included the transfer of German solar project monitoring company meteocontrol GmbH and PV plant administration unit Solarstrom AG plus the Wuxi Suntech brand name to Asia Pacific Resources – additionally saw the customer simply take on responsibility of HK$1.2 billion (US$154 million) for the HK$2.5 billion owed by Shunfeng to Sino Alliance and saw the Peace Link company additionally owned by Cheng Kin Ming surrender liberties to HK$1.95 billion owed it by Shunfeng under a bond issuance that is convertible. The deal additionally saw Asia Pacific hand over RMB1.75 billion Shunfeng owed towards the subsidiary it had been attempting to sell so the cash could then be offered to Jiangsu Shunfeng.
By the time Hong Kong-listed Shunfeng announced intends to raffle off significantly more than a 3rd of their 1,496 MW of solar task capability in Asia up to a mainly Chinese state-owned customer in November, the company had signed over its 59% stake with its Lattice energy Group LED electronic elements company towards the Hong Kong branch of loan provider Asia Minsheng Banking Corp Ltd. Underneath the regards to that HK$980 million financial obligation reorganization, the financial institution in August consented to accept the Lattice holding, a HK$60 million deposit after which the best of either HK$270 million or 20percent for the funds raised by way of a projected purchase of 300 MW of task capability a year ago plus HK$300 million by July 15 this present year in addition to stability for the HK$980 million by December 18.
Loans from banks
During the time that is same Sino Alliance consented the HK$1.3 billion it had been owed split through the Jiangsu Shunfeng deal might be settled with HK$500 million or half the profits associated with the mooted 300 MW project purchase this past year as well as the stability by the finish for this 12 months.
Pv mag will not be in a position to establish whether any 300 MW task purchase occurred this past year or whether Shunfeng rather discovered one other way to meet the 2 lenders.
On November 26, the 69.5% state-owned China nationwide Nuclear Corporation consented to spend RMB641 million for 11 international cupid Chinese Shunfeng task organizations plus RMB788 million in payables owed because of the tasks to Shunfeng and RMB197 million in task dividends for the vendor. Those product sales, authorized by separate Shunfeng shareholders, are due to improve RMB1.4 billion for financial obligation repayments and RMB226 million for functional costs.
Provided halt that is today’s trading will not relate solely to a hiccup into the task purchase, that could keep Shunfeng just RMB430 million and HK$1.57 billion in short supply of settling the short-term debts it stated in November so it owed by the end of this past year.