MARLBOROUGH — Evergreen Solar Inc. said its board of directors has approved a plan to recapitalize the debt-laden maker of solar-power products.
The plan would slash outstanding debt and annual interest expense, extend the due date and lower the cost on some longer-term debt, and provide incentive to convertible debt holders to exchange their notes for shares in the company.
Evergreen would look to raise capital by selling up to $40 million of its new 4 percent convertible subordinated additional cash notes, due 2020. It also would implement a 1-for-6 reverse stock split approved by shareholders in July. And it would double shares of common stock to 240 million.
The company plans to hold a special meeting of shareholders early next year to hold a vote on the recapitalization plan.