The parent company of GCL Poly has taken over the management of embattled module manufacturer Chaori Solar.
An emergency general meeting (EGM) of Chaori Solar, which gained infamy when it became the first Chinese company to default on an onshore bond, approved the restructuring on Tuesday.
Under the terms of the deal, GCL parent Jiangsu Golden Concord will take a 21% interest in Chaori.
Project developer GCL New Energy has made a series of module purchases from Chaori from its projects around the same time that the restructuring plan was under development and approval. Chaori will buy wafers, cells and module accessories from GCL.
The Zhu family, which had control of Jiangsu Golden Accord, and of whom two members are executive directors of GCL Poly, has “control of the board” at Chaori, according to a statement made to the Hong Kong Stock Exchange.