Capital News

Solarworld: second chance

Stakeholders in beleaguered Solarwords AG approved a far-reaching restructuring proposal at an Extraordinary General Meeting in early August, thus saving the one-time solar market high-flyer from insolvency. This initiative put a lot on the line; slashing debts involved reducing 150 shares to one, and after recapitalization by contribution in kind, the old shareholders will remain ex new and only hold five percent of the Prime Standard listed company. Bond creditors had already accepted a voluntary 55 percent reduction of their credit.

All told, investors lost 95% of their investment. On the other hand, after this recapitalization initiative the CEO and company founder intends buying a stake in the company worth 20 percent with 10 million Euros of fresh money. Qatar Solar is planning to purchase 29% of the company for 35 million Euros, thus becoming the largest single stakeholder, and is also prepared to furnish a 50 million Euro loan to give even more breathing space to the German solar panel manufacturer.

CEO Asbeck is optimistic and sees no need for company reorganization. And yet the solar panel market is still on tenterhooks. The European Union has closed its contention with China for now by a compromise solution that to European observers is heavily loaded in favour of low cost Chinese competition.

HanseYachts: Oceans of money

General Standard-listed HanseYachts AG concluded an increase in capital in mid August with subscription rights of almost five million Euros. The yacht builder issued 2.5 million non par value shares for 1.92 Euros each, thus raising the company’s share capital from 7 to over 9 million Euros. This should enable the company based in Greifswald on the Baltic coast to enhance its own capital resources. In July, the company announced the sale of the Marina Yachtzentrum tourist port in Greifswald.