April 9 (Renewables Now) - Troubled German wind turbine maker Senvion SA (ETR:SEN) said on Monday that it is evaluating both “in court and out of court” reorganisation processes, which spurred talk that it may be heading towards bankruptcy.
Debt-laden Senvion, which recently commenced a full transformation programme and appointed a chief restructuring officer, stated that it continues discussions with its main shareholder, creditors and other financing sources in a drive to secure financing for the group. As part of this process, it is currently mulling all available options.
Two financial sources told Reuters that the Hamburg-based firm is in need of at least EUR 100 million (USD 113m) in the short term. The news agency also noted that in Germany financial restructurings involve courts only in the event of an insolvency.
Business newspaper Handelsblatt wrote that hedge funds Anchorage and Davidson Kempner are ready to lend the needed sum, but the move needs to be cleared by banks including Deutsche Bank and BayernLB. This will be reflected in a remediation report that is expected to be prepared by the end of the month and will show whether the company could continue as a going concern.
Earlier this year, Senvion revised down its revenue and earnings guidance for 2018 due to some installation delays and subsequently announced the roll-out of a programme aimed at stabilising the company. At the time, CEO Yves Rannou admitted that the management team had made operational mistakes.
(EUR 1.0 = USD 1.128)