Yingli Loses NYSE Listing; Plans Move to the Pink Sheets
Yingli Green Energy Holding Co. Ltd., formerly traded on the New York Stock Exchange as "YGE," announced today that the exchange suspended the trading of its American depositary shares and that it would move to the over-the-counter market.
The shares of the Baoding-based company, a maker of solar panels, fell nearly 7 percent to $1.43 per share Friday before being suspended.
The company said it expected to begin trading on the "pink sheets" on July 2 under the symbol "YGEHY." The rights of the company's shareholders would not be affected in the transition to the over-the-counter marketplace, the company said.
Yingli, also known as "Yingli Solar," was once the world's biggest solar-panel manufacturer with a market value of almost $5 billion in 2007, according to Bloomberg. Founded in 1998 and among the top global solar panel makers, the company has more than 30 regional subsidiaries and branch offices and has produced more than 85 million solar panels for homes, businesses, and power plants.
In 2010, Yingli became the first Chinese company, and the first renewable energy company, to sponsor the FIFA World Cup, and it also backed the 2014 FIFA World Cup in Brazil.
Shortly after, however, Yingli's performance began to suffer after a wave of Chinese competitors flooded the market, producing similar, yet cheaper, solar panels. The company surrendered its position as the top manufacturer in 2014 and has been unable to return to profitability since, according to Bloomberg.
The NYSE determined that Yingli was not in compliance with its standards of trading as it did not maintain a 30-day market valuation of at least $50 million and its stockholders&`#`39; equity was less than $50 million.
Yingli said it would not appeal the delisting as its market value was only around $26 million.