Sunpower says not in breach of any loan covenant; able to continue as going concern

SINGAPORE (Nov 21): Sunpower’s board said the group is not in breach of any convertible loan agreement or any other loan covenant in view of the unauthorised transfers of shares in relation to the America 2030 loan agreement.

In the Wednesday morning filing, the board also concluded that the loan agreement have no bearing on the group’s borrowings or cash flow and that the group is able to continue as a going concern.

The responses announced on Tuesday night were made in response to queries by the Singapore Exchange regarding Sunpower’s revelations on Nov 8 that a total of 28 million shares were illegally transferred out from a designated account. The shares had belonged to subsidiaries of executive chairman Guo Hongxin and executive director Ma Ming which were pledged as collaterals for a loan from America 2030 Capital.

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