Suntech Cayman Islands liquidators file Chapter 15 bankruptcy case

By Caroline Salls

Pittsburgh, Feb. 24 - Suntech Power Holdings Co., Ltd.'s joint provisional liquidators appointed by the Grand Court of the Cayman Islands filed a Chapter 15 bankruptcy case for the company on Friday in the U.S. Bankruptcy Court for the Southern District of New York, according to a news release.

Through the Chapter 15 case, Suntech is seeking U.S. court recognition of its Cayman Islands provisional liquidation.

"The Chapter 15 petition is a very important step to conclude a successful restructuring of the company as it would allow a centralized process to assert and resolve claims against the company and to make distributions to the company's creditors," joint provisional liquidator David Walker said in the release.

"Chapter 15 recognition will stay actions brought by creditors in the United States and help ensure that all creditors are treated equally with similarly situated creditors in the Cayman Islands proceeding."

As previously reported, Suntech's filing of the Chapter 15 petition by Feb. 21 was a provision of the restructuring support agreement it entered with the petitioners for an involuntary Chapter 7 bankruptcy proceeding.

According to the Chapter 15 petition, Suntech has more than $1 billion in both assets and debt.

The company is represented by O'Melveny & Myers LLP.

Suntech is a Wuxi, China-based manufacturer and distributor of solar panels. The Chapter 15 case number is 14-10383.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.