Hanergy Thin Film Power has threatened to challenge its suspension by the Hong Kong Securities and Futures Commission (SFC) in the courts.
In a company filing Hanergy TFP has given more details of the root of the SFC’s concerns and the issue at the centre of the current dispute.
According to Hanergy TFP, the SFC has requested the audited accounts of parent company Hanergy Holding for 2011-2014 and details of the conditions of certain loans held by Li Hejun, chairman and CEO of Hanergy Holding.
“The Company has no control over Hanergy Holding, Hanergy Affiliates and/or Mr. Li He Jun and cannot compel them to produce such documents or information,” it said in the latest filing.
Shares of Hanergy TFP were halted on the 20 May at the company’s request after its stock value plummeted. The SFC confirmed it was investigating the company and decided to impose the suspension, under Rule 8(1), this week.
“The Company understood the SFC was concerned about (i) the ongoing viability of the Group given its financial dependence on Hanergy Holding and its affiliates; and (ii) the ability of the Company to keep the market properly informed as required by the Part XIVA of the SFO,” the filing stated.
“The Company considers the SFC Rule 8(1) direction made on this basis to be unfair and unreasonable and is not in the interest of the shareholders and the investing public.
“If necessary, the Company intends to challenge the SFC’s decision judicially,” it concluded.
Hanergy TFP also confirmed that it had been assured that two of its contracts for BIPV production equipment had been confirmed although one buyer was yet to do so.