News Article
Suntech Announces Restructuring Developments
Suntech Power has signed a Restructuring Support Agreement (the "RSA") relating to the petition for involuntary bankruptcy filed against it under chapter 7 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Southern District of New York.
Under the RSA signed by the petitioners for the chapter 7 proceeding, the Company, the joint provisional liquidators of the Company (the "JPLs"), and certain supporting holders of the Company's 3% Convertible Senior Notes (the "Notes") that include members of the Company's creditor working group, the chapter 7 proceedings in the U.S. have been stayed and a stipulation for the dismissal of the chapter 7 proceedings will be executed and filed following recognition of the provisional liquidation proceeding previously filed by the Company in the Cayman Islands under chapter 15 of the U.S. Bankruptcy Code.
David Walker, one of the court appointed JPLs, said, "We are pleased to have been able to work with all parties to bring this agreement to fruition. Finding common ground and alignment among each of the Company, its large creditors, its small creditors, and ourselves as the court appointed restructuring professionals represents tremendous progress. This agreement hopefully allows us to continue to proceed with the Company's Cayman Islands restructuring to preserve value in the interests of all stakeholders."