The FINANCIAL -- NYSE Regulation, Inc. announced that it is
reviewing and monitoring the continued listing status of the American
Depositary Shares of Suntech Power Holdings Co., Ltd.
ticker symbol STP on the New York Stock Exchange in light of
the Company’s announcement that the Wuxi Municipal
Intermediate People’s Court in Jiangsu Province, China has
formally accepted the petition for the insolvency and restructuring of
Wuxi Suntech Power Co., Ltd., the Company’s primary
operating subsidiary in China.
The Court has appointed an administration committee, consisting of local government representatives and accounting and legal professionals, to administer the restructuring of Wuxi Suntech. The insolvency and restructuring procedure is designed to facilitate an orderly process for both Wuxi Suntech and its creditors. The primary goal is to restructure Wuxi Suntech’s debt obligations, while continuing production and operations.
NYSE Regulation had previously initiated a trading halt in the Company’s American Depositary Shares prior to the opening on March 20, 2013 because of the uncertainty created by the Company’s announcement that, on March 18, 2013, a group of eight Chinese banks had filed a petition for insolvency and restructuring of Wuxi Suntech. Wuxi Suntech subsequently notified the Court that it would not file an objection against the petition, which the Court was expected to decide whether or not to accept.
NYSE Regulation has now completed its assessment of the March 21, 2013 Court decision in the context of NYSE Listed Company Manual Section 802.01D and will begin the procedure to resume trading in the Company’s American Depositary Shares. However, NYSE Regulation will carefully consider the price indications obtained in the opening process and will assess whether to move to halt or suspend trading in the Company’s securities should the: (1) price indications or subsequent trading reflect a price that the NYSE deems to be “abnormally low”; (2) NYSE receives authoritative advice that the security is without value; or (3) Company falls below the quantitative continued listing standards listed in NYSE Listed Company Manual Sections 802.01 B and C. NYSE Regulation will continue to closely monitor events at the Company and the appropriateness of continued listing of the Company’s securities.
NYSE Regulation notes that it may make an appraisal of, and determine on an individual basis, the suitability for continued listing of any listed security in light of all pertinent facts whenever it deems such action appropriate, and that the NYSE may, at any time, suspend trading in a security if it believes that continued dealings in the security on the NYSE are not advisable.
Related Stories
