Suntech Power Holdings Co. Ltd. says it intends to challenge the petition for involuntary bankruptcy filed against it under Chapter 7 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court in the Southern District of New York. The troubled company has until Nov. 6 to respond.
The petition was brought by a group of four asserted bondholders holding in aggregate approximately $1.6 million of the company's 3% convertible senior notes, due 2013. Suntech says the amount represents less than 0.3% of the total aggregate principal amount of approximately $541 million of notes outstanding.
Suntech is currently appealing a Sept. 20 ruling in favor of petitioning bondholders with respect to repayment of their notes.