Germany Zeros In on Financial Products as Prokon Fails
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Germany is seeking greater protection for small investors after Prokon Regenerative Energien GmbH, a clean-energy developer that raised 1.4 billion euros ($1.9 billion) from them, filed for bankruptcy protection.
Prokon, which owns 314 wind turbines and employs about 1,300 people, filed for insolvency yesterday at a court in Itzehoe, where the company is based. The developer has sold profit-participation rights to about 75,000 investors, promising returns of 6 percent by generating sales from its power plants.