Polaris solar PV net news: once PV giant fame, Yingli Green Energy (YGE.NYSE, hereafter “the Ying Li”) has experienced five consecutive years of losses, on the road to the assets restructuring. It is understood that China Cinda assets management Corporation (hereinafter “Cinda assets”) may be white Yingli.
Cinda a surging insider told press, “current progress we don’t talk”. However, the source said, Cinda is doing bad assets disposition of company Yingli this itself is non-performing assets and, in addition, Xinda for the PV industry is very interested in, had also focused on Suntech, sinovideo disposal of bad assets problem. Yingli Wang Zhixin, head of public relations, said in a formal announcement before the disclosure of the news will be a lot of, but specific information according to the requirements of foreign publications.
In the context of overall positive development of the photovoltaic industry, Yingli was mired in heavy debt, and what a shame. A surging on the news of the photovoltaic industry analysis, sinovideo and Yingli, Suntech is the same. The most fundamental problem is that the errors of their own investment strategy, such as large investments upstream Silicon business.
Photovoltaic industry a good trend, Yingli has been mired in debt
Yingli group, founded in 1987, in 1998 into the solar photovoltaic industry, at the time, was one of the earliest large company entering the PV industry in China. In June 2007, the British interest in United States listed on the New York Stock Exchange, had over a period of time thereafter, Yingli’s shipments of PV modules in maintaining the world’s first.
In 2015, the PV manufacturing industry fully warmed up, the output value of more than 200 billion yuan. About 105,000 tons polysilicon production, an increase of 20%; wafer yield is about 6.8 billion, cell production is about 28GW, an increase of over 10%; module production is about 31GW, an increase of 26.4%.
Now development of the photovoltaic industry a good trend, most enterprises out of the red in the peer, but Yingli is mired in huge debt.
A news analysis said the surging PV industry, in fact, Yingli appear today the situation and keeping the game like Suntech, winter, international trade barriers and other reasons, eventually led to their decline, but its own investment mistakes is the most fundamental reason. For example, in polysilicon prices high when Yingli, Suntech and sinovideo is not reason to PV industry upstream, and upstream of the Silicon material enterprises signed a long-term agreement. But Silicon is the most expensive, 400 or 500 USD/kg, cheaper when more than 10 dollars a kilogram, so the big price difference, coupled with high levels of long-term agreements, these enterprises at the upstream end of the supply chain pressures can be assessed.
Yingli in order to pass their own building polysilicon plants to solve the problem of raw materials, set up a “69 Silicon” polysilicon production projects. 2011 polysilicon prices tumbling, running nearly a year of “69 Silicon” has become a long-term impairment of the project. According to the 2011 Yingli quarterly, 69 Silicon 2.275 billion yuan loss, impairment of goodwill of 270 million Yuan.
In fact, that is, from the end of June 2011 after quarterly profit earned, Yingli has never been profitable.
Yingli three quarter released in 2015, 2015 years ago third-quarter net loss of 363.2 million respectively, 598.1 million Yuan, 3.2 billion yuan. 2015 third-quarter sales to 2.234 billion yuan over the same period, namely, 2015, lost money in the third quarter far exceeded the corresponding revenues.
Results also showed that Yingli, total assets amounted to 20.777 billion yuan, in which liquidity was 11.09 billion yuan company total liabilities 23.943 billion yuan, current liabilities of 18.4 billion yuan, asset-liability ratio of more than 100%.
On December 28, 2015, Yingli Announces “10 to 1” programme and share each ADS will represent ten ordinary shares. In this way, the Yingli Green energy within a short period of time to avoid delisting because the stock price less than $ 1 for a long time. Apart from the shares, Yingli is no more ways to pull in the short term share price back above $ 1.
Cinda capital or Yingli new strategic investor
Yingli, now almost unable to rely on their own after the next battle.
After a widespread “on issuing the Yingli asset restructuring Forum meeting notes notice” file is also confirmed by the British group. In the file shows that in December 2015, the CBRC and regulations Department, in conjunction with the National Energy Board new energy and renewable energy Division of the China Banking Regulatory Commission held a symposium on Yingli asset restructuring, Baoding, Hebei Bureau of energy, the Government, as well as major banks attended the meeting. Conference, China Banking Regulatory Commission and the National Energy Board supports the asset restructuring of Yingli, active introduction of strategic investors as soon as possible develop restructuring plan, submitted to the State Council.
Set up at the Yingli financial bond Committee, chaired by the CDB, Import Bank, ICBC, Bank of China and Bank of communications as Vice President, Yingli production management and the balance sheet as soon as possible investigations, with Yingli proposed operational asset restructuring programmes, realization of Bank and Enterprise win-win situation.
In the view of the industry, the Government-led restructuring, buyers may be some powerful new energy enterprises.
Wang Zhixin surging on the news said more enterprises in contact now and Yingli, everyone interested in may for the Yingli brand and size. Yingli willing cooperation enterprise will be more powerful, approval of Yingli brand Yingli and can bring good development of the enterprise.
It is understood that, as a core business for bad assets management of financial assets management companies, Xinda assets may also become the Yingli new strategic investor.
Cinda a surging told news, Cinda is doing the bad assets, Yingli in today’s situation is a non-performing assets. In addition, Cinda is optimistic about the development of the photovoltaic industry, also very interested in the PV industry, and previously had focused on Suntech, LDK’s bad asset disposal problems.
Original title: debt-restructuring former PV bosses Yingli, Cinda assets into the