Struggling power electronics and PV inverter manufacturer, 3W Power/AEG Power Solutions, has won approval from shareholders and bondholders to convert its €100 million bond by issuing a new €50 million bond and a debt for equity swap for the remaining €50 million.
AEG Power has faced continuing financial problems, partially due to the highly competitive PV inverter market, and has suffered from cash flow issues that have led to a number of business and asset sales as part of a major restructuring effort.
Agreements to restructure bonds at an AGM also approved the election of new directors to the company, including Dr. Dirk Wolfertz, Bernd Luft, Willi Loose, Jeffrey Casper, Keith Corbin and Klaus Schulze.
The company posted first quarter 2014 revenue of €45.4 million, down 51.9% year-on-year.
However, AEG Power expects revenue of approximately €220 million in 2014, while returning to positive EBIT and liquidity of approximately €20 million at the end of the year.