Trina Solar Gets $304 Million Loan Boost
CHANGZHOU, China (
) --
Trina Solar
(TSL)
is expanding with the help of a big loan.
In a press release today, the China-based solar operation said it received a $304 million loan facility to help goose its East Campus 500 megawatt capacity expansion, which should be completed over three years. A collage of five domestic banks headed by the Agricultural Bank of China and Bank of China will provide the financing, with the first drawdown to come in September 2009.
Along with funding capex targets for the latter half of 2009, the company said the loan will be used to pay back around $80 million in other loans that will come due in June of next year.
Calling the move an "important phase" in the company's progress, Trina Solar CEO Jifan Gao said in the release that the proceeds will "improve our long-term capital resources as we carry out our market-driven expansion plan and elevate our manufacturing technology platform."
Around the solar sector on Friday, American depositary shares for Trina Solar had gained 19 cents to finish at $26.43. In after hours, ADS's had also added another 2.1%.
Suntech Power
(STP)
closed at $14.85 after adding 55 cents.
Yingli Green Energy
(YGE)
bid at $11.83 at the end, up 39 cents, while
LDK Solar
(LDK)
tracked up slightly higher by 4 cents at $8.94. Each continued moving higher before the opening bell this morning, going up another 5.9%, 4.4% and 1.8%, respectively.
First Solar
(FSLR) - Get Report
shares finished Friday at $121.47 after adding $1.53. In pre-market activity today, shares were gaining another $3, or 2.5%.
-- Written by Sung Moss in New York
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