A Chinese solar equipment company signaled the potential failure to pay 1.4 billion yuan ($215.2 million) on holders of five-year note that will mature on May 12.
Baoding Tianwei Yingli New Energy Resources Co., Ltd, a subsidiary of Yingli Green Energy Holdings Co., Ltd, said successive losses led to their decision.
The warning was posted on the website of the country’s interbank bond market operator.
As of late, prices for solar power machinery have declined sharply, causing headaches to several manufacturers.
Bond defaults have been escalating in the country, with about 20 entities experiencing repayment difficulty this year. It was Chaori Solar which first defaulted on a public bond in 2014.
The material has been provided by InstaForex Company – www.instaforex.com