On January 3, Gelonghui reported that Changshu Fengfan Power Equipment (601700.SH) announced that in order to quickly recover receivables, reduce the risk of uncertainty in collections, and minimize the risk of bad debt losses for the company, a decision was made to restructure debt with SOLARLONG PV-TECH (CAMBODIA) CO., LTD (hereinafter referred to as "SOLARLONG"). Both parties recently signed a "Debt Restructuring Agreement" between Jiangyin Jingying Photovoltaic Material Co., Ltd. and SOLARLONG PV-TECH (CAMBODIA) CO., LTD (hereinafter referred to as the "Debt Restructuring Agreement"). (Jiangyin Jingying Photovoltaic Material Co., Ltd. (hereinafter referred to as "Jiangyin Jingying") is a wholly-owned subsidiary of the company's holding company). According to the sales contract signed between Jiangyin Jingying and SOLARLONG, as of the announcement disclosure date, SOLARLONG still has overdue payments of 42,418,203 USD. After negotiations, both parties intend to restructure the relevant receivables.
According to the "Debt Restructuring Agreement", SOLARLONG will transfer the industrial-use real estate and its appurtenances (hereinafter referred to as "Debt Settlement Assets"), legally owned by it, located in the Special Economic Zone of Sida Village, Yunerang Township, and Buteng Village, Baderang Township, Sihanoukville Province, Cambodia, to JINYING PV-TECH (CAMBODIA) CO., LTD without compensation. The total land area is 99,187.68 square meters, with self-built factory buildings covering an area of 72,341.39 square meters. Meanwhile, SOLARLONG agrees to provide existing first-level inventory components ("Inventory") at a price of zero based on the PV-infolink spot price to Party A within five days after the signing of this agreement, to offset part of SOLARLONG's debts to the company. (Note: JINYING PV-TECH (CAMBODIA) CO., LTD is the company's overseas holding subsidiary.) The ownership of the Debt Settlement Assets is clear, without disputes or mortgages, and the debt settlement amount is based on the evaluation report issued by Northern Asia Asset Evaluation Co., Ltd. (Evaluated by Northern Asia Report No. [2024] 01-1330), which was mutually negotiated by both parties, valuing the Debt Settlement Assets at 24 million USD. At the same time, both parties agree to settle Party B's existing inventory of brand new first-level components (66.68 megawatts) at the PV-infolink spot price of 0.085 USD/watt, valuing the debt settlement components at 5.668 million USD, bringing the total value of Party B's debt settlement assets to 29.668 million USD. After this debt restructuring, there remains an accounts receivable of 12,750,203 USD, which will be accrued at 5% for bad debt losses based on a one-year aging, while actively pursuing collection.
