As part of the deal, Trina Solar will acquire a 51% stake in Hubei Hongyuan, while the remaining 49% stake will be held by Shenzhen S.C.
The new joint venture company is expected to expand Hubei Hongyuan’s existing production facilities and infrastructure to reach a capacity of around 420MW by the middle of 2014.
Trina Solar chairman and CEO Jifan Gao said that Shenzhen S.C. and Hubei Hongyuan have extensive and proven experience in manufacturing superior quality solar equipment and products.
"This acquisition will provide Trina Solar with the benefit of greater access to solar cell manufacturing capacity and at a low cost of capital," Gao added.
Shenzhen S.C New Energy Technology chairman Liujian Jiang said, "This transaction will enhance the presence of both companies within the solar sector by bringing together Trina Solar’s solid experience and industry-leading products and services with Shenzhen S.C.’s state-of-the-art equipment."
Image: Trina Solar to acquire 51% stake in PV cell producer Hubei Hongyuan. Photo: Courtesy of dan/ FreeDigitalPhotos.net.
