Suntech creditors 'claim $2.8bn'
Creditors claim they are owed some 17.4bn yuan ($2.8bn) by Wuxi Suntech, the bankrupt Chinese manufacturing subsidiary of PV giant Suntech, according to local media.
In the first session at Wuxi Intermediate People’s Court in Jiangsu province since Wuxi Suntech was forced into bankruptcy in March, nearly 530 creditors brought claims against the subsidiary.
The administrator overseeing the process has reportedly confirmed claims totalling 3.32bn yuan, having reviewed 300 of them as of 20 May.
Among the claims said to be outstanding are 5.2bn yuan owed to South Korean polysilicon supplier OCI, 415m to GCL-Poly-owned wafer maker Konca and 149.2m yuan to French chemicals supplier L’Air Liquide.
Suntech became modern China’s first company to default on its corporate bonds in March, and the entrails of its restructuring process will be closely analysed by the global PV industry, which remains far from a healthy balance between module supply and demand.
Yesterday Suntech agreed to sell a 99% stake in a project company and nearly 30MW of modules at a cut-price rate as part of its ongoing cash-raising effort.