Mar 16 2010
China Sunergy Co., Ltd., a Nanjing-based manufacturer of specialized solar cells, announced that it has signed an agreement to purchase two solar module manufacturers, CEEG (Nanjing) New Energy Co., Ltd and CEEG (Shanghai) Solar Science & Technology Co., Ltd.
Chairman of China Sunergy, Mr. Lu Tingxiu, said these acquisitions will help the company’s initiative to become a complete solar solution provider and to offer value-added services to its customers. Tingxiu further said the company is looking forward to achieve these strategies by manufacturing polycrystalline modules in-house and by strengthening its competitive advantages in the solar market.
Chairman Lu further said that being a vertically integrated company will help it to increase its profit margins as well as to stabilize in a volatile environment, while being a comprehensive solution provider. The company is also being reshaped to provide value-added service to its customers as well as to integrators and system installers, Lu added.
The cost of the acquisitions is about US$47 million and is being fully funded through internal resources of China Sunergy. The company will pay the consideration in a series of installments to Sundex Holdings Limited and China Electric Equipment Group. The Boards of Directors of all the three companies have reviewed and approved the transactions.
China Electric Equipment Group controls both the CEEG (Nanjing) New Energy and CEEG (Shanghai) Solar Science & Technology. The annual production capacities of the companies are 70 MW and 150 MW, respectively and by the middle of 2010, the capacities are expected to increase to 170 MW and 300 MW. Both the companies have a sales network in U.S., Spain, Germany, Italy, the Czech Republic, Spain, and Southeast Asia.
Source: http://www.chinasunergy.com