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Suntech sells assets to make up loss at unit
Aggregated Source: Shanghai Daily: Business

SUNTECH Power Holdings Co agreed to sell a project and discounted panels worth a total of nearly 93 million yuan (US$15.2 million) as it tries to make up the loss at its bankrupt solar manufacturing unit, Wuxi Suntech, as well as calm angry creditors.

Suntech Power Holdings Co will sell its assets to Shunfeng Photovoltaic International Ltd, a company based in Changzhou, Jiangsu Province, according to a statement filed yesterday to the Hong Kong stock exchange.

The project, valued at 3.96 million yuan, is to build the Kumul solar plant in the Xinjiang Uygur Autonomous Region. The panels will be sold in installments for a total of 89 million yuan, with a discount of over 30 percent.

Wuxi Suntech, the biggest subsidiary of New York-listed Suntech Power, filed for bankruptcy protection in China in March, five days after its parent defaulted on a US$541 million convertible bond.

On Wednesday, more than 500 angry creditors in China claimed Wuxi Suntech owed them a combined US$2.5 billion. Overseas creditors are "closely watching" the restructuring of Suntech's debts, according to Reuters.

Wuxi Suntech is seeking to restructure its debts, a process which is set to last months.

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