In February, EuPD Research awarded Germany-based Sovello the TOP BRAND PV seal; this week, the module manufacturer announced it has filed for insolvency in self-administration at the district court in Dessau. This very same court handled proceedings for Q-Cells last month and CIGS thin-film firm Odersun. The dramatic reduction in government subsidies and competition from Chinese manufacturers are being blamed for the moves by German companies that are unable to pay their mounting debts.
Based in Thalheim, Saxony-Anhalt, the company has appointed Bernd Depping as interim trustee. Dnp Depping, in March, was given custody of insolvency proceedings for Scheuten Solar. The administrator said that he would be coordinating the potential for reorganization.
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“The smoother the business can run in the short term, the better rehabilitation can occur in the medium and long term,” said the interim trustee Depping. “This also means that we will have the money for the insolvency staff up to and including July 2012 and can quickly pre-finance them instantly with suppliers and customers. The company’s technologically innovative products will help to redevelop Sovello’s market position in such a challenging market environment.”
The board of directors at Sovello is to be advised on plans for recovery by a team of international commercial law firm from Taylor Wessing, led by Dr. Matthias Kampshoff. Dr. Reiner Beutel, CEO, stressed that they would work constructively with the temporary guardian in order to preserve all options for redevelopment.
“We have checked alternative viable scenarios to restore the solvency of our company,” said Dr. Beutel. “Even if our debts are low, in the current market environment the company can be sustainably restructured with the instruments of the insolvency code.”
The company said it generated sales of around €200 million last year.
Other companies hit by the current solar market climate are Solon, Solar Millenium and Solarhybrid.
