|SolarWorld plant in Freiburg, Germany.|
On the bright side, SolarWorld reached an agreement with creditor over basic financial restructuring in a plan intended to allow a 60% reduction in its non-current liabilities. The plan includes a combined capital reduction and capital increase with debt-to-equity swap. Still, the plan needs approval of all pertinent committees.
Bloomberg reports SolarWorld has EUR 150 million ($196 million) worth of bonds maturing in 2016 plus EUR 400 million ($523 million) worth of bonds maturing in 2017.
SolarWorld attributes 2012 losses to both a 40% decline in solar photovoltaic (PV) module prices and a decline in shipments. SolarWorld (www.solarworld-gt.de/en) is Germany's largest PV panel maker.
LDK Solar Update
Some upbeat news for LDK Solar (www.ldksolar.com).
Fulai Investments Ltd. (British Virgin Islands) agreed to purchase $25.7 million of new shares in LDK Solar Company Ltd. (Xinyu City, China). Fulai will buy 25 million shares at $1.03 per share. This is Fulai's second purchase of LDK stock in three months, the first being an agreement to purchase $31.1 million in stock in January 2013.
LDK and Suntech are two major Chinese PV manufacturers facing major financial problems this year with the latter entering bankruptcy.