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LDK Solar Systems Plan Confirmed

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The U.S. Bankruptcy Court entered an order confirming LDK Solar Systems’ Prepackaged Plan of Reorganization. LDK Solar Systems, Inc. operates as a subsidiary of LDK Solar CO., Ltd., which filed for Chapter 15 protection on the same date that LDK Solar Systems and two other U.S. Debtors filed for Chapter 11 protection. In addition to entry of the confirmation order, the Court also entered an order recognizing LDK Solar CO.’s provisional liquidation proceeding in the Grand Court of the Cayman Islands as a foreign main proceeding under Chapter 15 of the U.S. Bankruptcy Code and an additional order recognizing and giving full force and effect in the jurisdiction of the United States to LDK Solar CO.’s Cayman Islands scheme of arrangement. “The U.S. Bankruptcy Court’s rulings, which follow favorable rulings from the Grand Court of the Cayman Islands and the High Court of Hong Kong, are the final court approvals necessary for us to execute the various documents with our creditors to consummate the international restructuring of our offshore liabilities. Now with more than US$700 million in our offshore claims judicially approved for restructuring, we can focus our attention on rebuilding LDK Solar’s position in the marketplace,” stated Xingxue Tong, interim chairman, president and C.E.O. of LDK Solar CO. Privately-held LDK Solar Systems filed for Chapter 11 protection on October 21, 2014, listing more than $500,000 in pre-petition assets.