Connect with us

Hi, what are you looking for?

Image Credit: Suniva

Clean Power

Suntech Owner Shunfeng International Buys Majority Stake In Suniva

The owner of Suntech, currently one of the largest solar energy companies in the world, Shunfeng International, has acquired a majority stake in the US-based solar cell + module manufacturer Suniva, according to recent reports.

Shunfeng is now a 63% stakeholder in Suniva. Other minority stakeowners currently include: Goldman Sachs, NEA, Prelude Ventures, and Warburg Pincus.

Image Credit: Suniva

Given that the Suntech brand is currently exposed to a cumulative duty of 54.02% (an anti-dumping tariff rate of 33.08% + a countervailing duty of 20.94%) when selling in the US, one can easily surmise the reason for the Suniva buy-in — Shunfeng will now have a better means of entering more strongly into the American market.

With regard to the details of the acquisition, Greentech Media has more:

According to a Hong Kong exchange document, “The Consideration is US$57,760,000, which is to be settled as follows: (a) the Company shall make the Cash Contribution of US$12,000,000 upon Completion; (b) for the remaining portion of the Consideration, the Company shall allot and issue 70,928,000 new Shares at the Issue Price to the Participating Stockholders.”

Suniva lost $15 million in 2014, less than the $44 million it lost in 2013, according to the same document. According to GTM Research’s PV Pulse and GTM solar analyst Jade Jones, Suniva is the No 2 US c-Si manufacturer in terms of total capacity. The investment by SFCE will allow Suniva to expand its capacity to over 400 megawatts.

It’s probably worth a reminder here that despite the events of recent history (a few years back, that is), Suntech is doing quite well right now — were it not for anti-dumping tariffs, the company/brand would most certainly be looking to gain a far greater market share in the US. With the recent majority-stake acquisition, though, that looks as though it may be unnecessary.

I don't like paywalls. You don't like paywalls. Who likes paywalls? Here at CleanTechnica, we implemented a limited paywall for a while, but it always felt wrong — and it was always tough to decide what we should put behind there. In theory, your most exclusive and best content goes behind a paywall. But then fewer people read it! We just don't like paywalls, and so we've decided to ditch ours. Unfortunately, the media business is still a tough, cut-throat business with tiny margins. It's a never-ending Olympic challenge to stay above water or even perhaps — gasp — grow. So ...
If you like what we do and want to support us, please chip in a bit monthly via PayPal or Patreon to help our team do what we do! Thank you!
Sign up for daily news updates from CleanTechnica on email. Or follow us on Google News!

Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.

Written By

James Ayre's background is predominantly in geopolitics and history, but he has an obsessive interest in pretty much everything. After an early life spent in the Imperial Free City of Dortmund, James followed the river Ruhr to Cofbuokheim, where he attended the University of Astnide. And where he also briefly considered entering the coal mining business. He currently writes for a living, on a broad variety of subjects, ranging from science, to politics, to military history, to renewable energy.


You May Also Like

Clean Power

The wrath of the US solar industry is raining down upon an anonymous group of solar tariffs petitioners against unfair Chinese imports.

Clean Power

Chinese solar manufacturer LONGi Solar announced last week that it has signed a $600 million supply agreement with an unnamed major US power plant developer...

Clean Power

Suniva, the Chinese-owned, US-based solar manufacturer which instigated the Section 201 trade case that led to the imposition of 30% tariffs on all imported...

Clean Power

Nearly 60% of American voters oppose tariffs recently imposed on imported solar cells and modules by US President Trump according to a new survey,...

Copyright © 2023 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.