Quarton Partners, the companies' investment banker, is continuing to work with prospective buyers on alternative transactions.
AUBURN HILLS, Mich., May 7, 2012 -- Energy Conversion
renewable energy technologies, and its wholly-owned subsidiary United Solar
Ovonic LLC ("USO") today announced that they are cancelling the auction of
the going concern sale of USO scheduled for May 8, 2012 and discontinuing
the court-approved sale process because of the failure to receive an
acceptable qualified bid by the bid deadline. Quarton Partners, the
companies' investment banker, is continuing to work with prospective buyers
on alternative transactions. In addition, the companies have retained
auction services provider Hilco Industrial to prepare for an orderly sale of
the companies' assets.
"Today's announcement is one that everyone here at ECD and UNI-SOLAR worked
extremely hard to avoid," said Julian Hawkins, ECD's President and CEO. "On
behalf of the management team and the board, I wish to express the sincere
thanks to past and present members of the ECD/UNI-SOLAR team for their
dedication, commitment and passion. Each one of you has played an integral
role in forever changing the world of clean energy."
In connection with these activities, the companies will immediately begin
reducing their workforce, terminating approximately 300 employees worldwide.
The companies will retain a smaller workforce to support the bankruptcy
process and the sale of its solar and other assets, including ECD's interest
in Ovonyx, Inc. USO is also retaining a small number of employees to
continue to develop its core solar technologies under government-funded
ECD and USO voluntarily filed a petition for relief under Chapter 11 in the
U.S. Bankruptcy Court for the Eastern District of Michigan on February 14,
2012. Additional information regarding the bankruptcy proceedings are
available at www.energyconversiondevices.com/restructuring.php.