Chinese manufacturer JinkoSolar Holding has agreed a US$5.05 million settlement of a previously disclosed class action lawsuit brought in 2011 on behalf of all purchasers of JinkoSolar's American Depositary Shares between 13 May 2010 and 20 September 2011.
If approved, the settlement will also resolve related claims against JinkoSolar’s officers and directors. It will also resolve claims against underwriters involved in JinkoSolar’s public offerings during the aforementioned period.
The members of the proposed class will receive a settlement fund of $5.05 million, less any court-approved fees.
JinkoSolar will provide part of the settlement fund, while the firm's insurers will fund the remaining portion. JinkoSolar will not take any charge in connection with the settlement.
It had been alleged that some of JinkoSolar’s filings with the US Securities and Exchange Commission misrepresented the extent of its compliance with environmental regulations in China, which JinkoSolar denies.
A company statement said JinkoSolar is “entering into this settlement solely to eliminate the uncertainty, burden and expense of further protracted litigation”.