Shunfeng Photovoltaic International recently revealed that it’s now planning to enter the solar power plant development business, in order to complement its manufacturing operations and become a fully integrated solar company.
The move isn’t all that surprising considering the fact that many other solar companies have recently been making similar moves — SolarCity being the one with the highest profile. The general trend of the industry does seem to be in that direction.
Image Credit: Solar Panels via Shutterstock
In order to finance the expansion, Shunfeng is planning to issue HK$6 billion ($774 million) worth of new shares — the aim is for no less than 600 million new shares at no less than HK$10 a pop.
Interestingly, the company will also be rebranding, with the plan being for the name to change to Sunfu International. Certainly simpler, more distinct, and easier to remember.
Renewable Energy World provides more:
The new name and the share offering reflect the company’s expansion from a manufacturer to a power producer. It acquired Wuxi Suntech Power in April for 3 billion yuan ($480 million), the biggest panel maker in 2012, and this month agreed to buy an inverter company. A sister company owns a stake in the wafer supplier LDK Solar. Shunfeng Chairman Zhang Yi said in January that the company would install 3 GW of solar systems this year.
The company is controlled by real estate tycoon Zheng Jianming, who took a 30% stake in 2012. The proposed share offering represents 28% of the company’s existing share capital.
The goal of the expansion is apparently to “become the world’s largest integrated clean-energy supplier,” according to Chief Executive Officer Eric Luo.
The company is currently aiming to install 10 GW of solar capacity within the next three years.
In related news, and as mentioned before, SolarCity recently made the somewhat surprising move of purchasing the solar panel manufacturer Silevo, boosting solar stocks across the board.
The aim is, of course, to position itself as a fully integrated solar company — one that produces and as well as installs solar energy systems. Following the acquisition, the plan is to build a 1 GW manufacturing plant in New York that will allow for Silevo to cut its costs, via the advantages of economies of scale, according to Elon Musk.
Have a tip for CleanTechnica? Want to advertise? Want to suggest a guest for our CleanTech Talk podcast? Contact us here.
Our Latest EVObsession Video
CleanTechnica uses affiliate links. See our policy here.