Wed, 01/02/2012 - 17:41
Q-cells se, once the world's largest maker of solar cells, surged in frankfurt trading after reaching an agreement with bondholders to salvage the company.
Q-cells, based in Thalheim, Germany, climbed as much as 38 percent to 46 euro cents, the biggest intraday gain since nov. 4. The stock traded at 45 cents as of 3:43 p.M., Snapping three days of declines. Q-cells reached an agreement ôin principleö with the main holders of its 2012, 2014 and 2015 convertible bonds to complete a financing restructuring in one step after last month seeking to pursue a two-step transaction.
The restructuring may help save the solar company, which has plunged to a fraction of its value since first selling shares more than six years ago. At its peak, q-cells traded as high as 80.95 Euros in december 2007. The bondholders, mainly institutional investors, will be able to swap their debt for 95 percent of equity, ina von spies, a company spokeswoman, said on a conference call. Holders of the 2012 note will also get a cash payment of 20 million euros ($26 million), she said.