China’s Yingli: Unit noteholder files suit to recover RMB 74.4 million

By Caroline Salls

Pittsburgh, Sept. 1 – Yingli Green Energy Holding Co. Ltd. announced Friday that one of the holders of the medium-term notes due May 12, 2016 and medium-term notes due Oct. 13, 2015 issued by subsidiary Baoding Tianwei Yingli New Energy Co. Ltd. filed a lawsuit against Tianwei Yingli in a People’s Republic of China court to recover the amount due under the notes.

According to a Yingli Green news release, the principal amount of the medium-term notes held by the lawsuit plaintiff is alleged to be RMB 65.7 million, representing 3.7% of the total amount of the 2011 and 2010 notes that are still outstanding.

The company said the noteholder claimed that Tianwei Yingli should repay principal, interest and overdue penalty on the notes for a total amount of RMB 74.4 million and bear costs related to the lawsuit.

Yingli said it tried to resolve the dispute with the noteholder out of court, and Tianwei Yingli plans to vigorously defend its rights in court while continuing to seek a mutually beneficial solution out of court.

Considering the amount claimed by the noteholder, the company said it does not expect this lawsuit to have any direct material impact on its overall operation.

The company said it notified all holders of the medium-term notes of this lawsuit, and it expects to hold meetings with them soon to discuss Yingli’s debt restructuring, strategic alternatives and financing plans.

Yingli Green Energy is a Baoding, China, maker of solar panels.

© 2015 Prospect News.
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