Creditors meeting for Suntech subsidiary

Suntech Power Holdings Co Ltd, the previous world-leading electrical device producer, has regular a creditors meeting for its Wuxi subsidiary on could twenty two, the corporate aforesaid.

Wuxi Suntech, the company's Chinese subsidiary, that is within the method of restructuring, continues to work beneath a court-appointed administrator, the corporate aforesaid in a very statement on weekday.

Nine banks, together with Industrial and banking concern of China, Agricultural Bank of China and Bank of China, had outstanding loans of seven.1 billion yuan ($1.1 billion) to Suntech at the tip of Feb, the Xinhua news organisation aforesaid.

Suntech defaulted on $541 million of convertible bonds due in March, and declared bankruptcy of its Wuxi subsidiary. Suntech aforesaid it's entered into a forbearance agreement with holders of over sixty p.c of the notes beneath that the sign language bondholders agree to not exercise their rights beneath the notes and connected indentures till could fifteen, 2013.

The cash-strapped company conjointly expects to enter discussions with creditors of its main unit in Europe, that was granted a two-month probationary moratorium from somebody claims on Apr nine.

Suntech is delaying its full-year money report, however in step with preliminary calculations, the Chinese electrical phenomenon manufacturer saw 2012 revenue tumbling from $3.14 billion in 2011, to around $1.63 billion.

Earlier reports aforesaid U.S.A. king Warren Buffett and Chinese State-owned enterprise Guolian could enter, as strategic investors, Suntech's restructuring program.