August 19, 2008
Suntech Completes Acquisition of Minority Interest in Nitol Solar
Photovoltaic module manufacturer Suntech Power Holdings has completed the final round of its $100 million purchase of a minority interest in Nitol Solar, an independent polysilicon producer.
In conjunction with the completion of the transaction, Suntech also announced that it was satisfied with the test results from the initial batches of polysilicon that it has received from Nitol.
Suntech's completion of its minority investment in Nitol Solar coincides with the recently announced $50 million equity investment in and $25 million loan to Nitol Solar from International Finance Corporation (IFC), a member of the World Bank Group.
Funds raised from both Suntech and IFC are expected to help Nitol Solar to continue the on schedule construction of its new production facilities in Irkutsk, Russia, and achieve its projected annual polysilicon capacity of 3,700 tons in 2009.
Zhengrong Shi, Suntech's chairman and CEO, said: "We are pleased to cement our strategic partnership with Nitol and jointly advance the adoption of solar energy as an instrument for sustainable global change. This alliance supports our diversified polysilicon procurement strategy to increase visibility on supply while driving towards grid parity."