The only successfully completed restructuring of Chinese issuer's USD bonds in 2019, The first ever restructuring of Chinese issuer's USD bonds by way of introducing a white knight investor
On 19 December 2019, China Singyes Solar Technologies Holdings Limited (“750.HK” or the "Company " or “Singyes”) announced that the restructuring of its three offshore bonds ( the “Transaction”) was completed and effective. As the sole restructuring financial advisor, Admiralty Harbour led the entire process of the Company's debt restructuring.
Shuifa Energy Group Co. Ltd (“Shuifa”), a state-owned enterprise in Shandong provincial, was introduced as a white knight investor with the help of Admiralty Harbour. By subscribing to the newly issued shares, Shuifa became the controlling shareholder of the Company and provided the Company with important operating and debt restructuring funds and strong strategic resources. As a result, Shuifa gained access to the offshore capital market.
The restructuring terms proposed by Admiralty Harbour received a positive response and recognition from the Company, Shuifa and the Company’s major creditors and shareholders. Prior to the formal commencement of the legal procedures for the Scheme of Arrangement, 98.5% of bondholders had signed the Restructuring Support Agreement (RSA). The scheme creditors present and voting at the scheme meeting unanimously passed a resolution on 25 November 2019, approving the Hong Kong Scheme and the Bermuda Scheme. More than 99.6% of shareholders voted in support of the restructuring transaction at the Company’s Special General Meeting.
Although there were unexpected incidents such as Fubon Bank and Deutsche Bank litigation disputes during the Transaction, the strong execution ability of Admiralty Harbour ensured the smooth and rapid progress of the Transaction. The restructuring terms were finalized and RSA was signed with the major creditors within 9 months. The Scheme of Arrangement court procedures were completed in the next 5 months.
This Transaction marks the first successfully completed restructuring of a Chinese issuer’s USD bonds in 2019, and the first ever restructuring of Chinese issuer’s USD bonds by way of introducing a white knight investor. As the company's sole restructuring financial advisor, Admiralty Harbour played an important role in the entire Transaction, providing the Company with a full range of professional advice to ensure the smooth implementation and completion of the Transaction.
Singyes was founded in 1995. With over 20 years of stable development and continuous innovation, the Group has gradually become a high-tech corporation, which specializes in green building technology, renewable energy application, new materials and solar PV integrated ecological agricultural products.
Since its listing in the main board of the Hong Kong Stock Exchange in 2009, Singyes has set up an export and research base in Zhuhai, Guangdong province, a manufacturing base in Xiangtan, Hunan province, and several demonstration bases of solar PV power plant integrated with ecological agriculture in Yangjiang, and other cities in Guangdong province.