Shunfeng buys Chinese assets of bankrupt Suntech

Suntech once world's largest solar panel maker by capacity.

Chinese solar company Shunfeng Photovoltaic International has purchased the Chinese assets of bankrupt Suntech Power Holdings Co., Ltd. Shunfeng is a China-based maker of solar-grade crystalline silicon wafers, cells and PV modules. Suntech is a producer of solar panels with 2,000MW of annual production capacity in 2011.

Shunfeng said it will buy Suntech's bankrupt Wuxi manufacturing unit for US$492 million. With the purchase, Shunfeng now controls some of China's largest solar companies and solar power projectst.

Suntech’s main assets are located in the Chinese city of Wuxi. Shunfeng will also pay US$25 million to Wuxi Guolian, the investment arm of the Wuxi government, a move that would mean a "substantial dilution" for existing shareholders.