A deal once considered the single largest transaction of solar power projects has fallen through.
China-based United Photovoltaics has announced that it has transferred a deal to acquire 930 MW of solar power projects from Hareon Solar to third parties, in exchange for regaining the initial deposit, interest, and expenses.
In 2014, United PV signed an agreement with Hareon Solar to acquire 930 MW worth of under-construction solar power projects, estimated at $1.4 billion. The capacity was spread across 17 projects located in various provinces of China, including Xinjiang, Hebei, Yunnan, Shanxi, Jiangsu, among other provinces.
The trouble for the deal started brewing when, according to United PV, Hareon Solar failed to meet a deadline to commission some projects.
In late December 2015, United PV claimed that Hareon Solar had failed to meet the conditions of the transaction. United PV sought a refund of $64.5 million from Hareon Solar as the latter had been able to commission only 30 MW capacity by late December. Hareon Solar, on its part, stated that it was working to commission more projects.
United PV, which has been on an acquisition spree for the last several months, secured RMB 10 billion (US$1.5 billion) to acquire more solar power projects in December 2015.
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.
Former Tesla Battery Expert Leading Lyten Into New Lithium-Sulfur Battery Era — Podcast:
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 ...