Visit windpowermonthlyevents.com for the latest on our upcoming conferences and webcasts

China

China

Sinovel loses third chairman in 18 months

CHINA: The third Sinovel chairman in 18 months has stepped down, citing personal reasons, as the company struggles to deal with a number of crises.

Sinovel has been hit by a number of scandals in recent years
Sinovel has been hit by a number of scandals in recent years

Wang Yuan leaves the company as it faces a possible delisting from the Shanghai stock exchange due to two straight years of losses.

He was promoted to the position of chairman in May 2013 following the resignation of Wei Wenyuan, who was in the post for only two months. His predecessor, Sinovel chairman and founder Han Junliang, also resigned citing "personal reasons".

The company will hold a board meeting to elect a new chairman as soon as possible, the company said in a release to the stock exchange.

The company has been hit by a string of scandals and a drop-off in orders in recent years, following its meteoric rise to become a major global player.

Trading of Sinovel bonds was suspended on the Shanghai Stock Exchange in April after the company posted a loss of CNY 3.45 billion ($551 million) for 2013, compared with a CNY 583 million loss the year before. The stock exchange is also looking at whether it should delist the company's shares from trading.

On top of its poor performance, Sinovel is embroiled in a legal dispute with US firm AMSC over the alleged theft of intellectual property related to turbine control codes. The Chinese firm faces a number of cases in China, and one in the US, where a judge recently ruled that the case can progress.

China's stock market watchdog, the China Securities Regulatory Commission (CSRC), is also looking into a suspected breach of security market regulation by Sinovel.

In May 2013, CSRC said in its report that it had started investigating Sinovel for suspected irregularities such as inflated income, cost and profit.

Sinovel decided to correct its 2011 annual financial report, with its turnover reduced from CNY 10.436 billion ($1.7 billion) to CNY 9.506 billion ($1.6 billion), and net profit from CNY 0.775 billion to CNY 0.598 billion.

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus

Windpower Monthly Events

Search more than 4,500 companies in the Windpower Directory

Latest Jobs

[DAYS_LEFT] DAYS Subscribe Now

Left of your Windpower Monthly free trial

Your free trial Subscribe Now

to Windpower Monthly has expired