Shunfeng to quadruple solar generating capacity after acquiring Wuxi Suntech
Following its acquisition of Wuxi Suntech last year, the mainland firmplans to quadruple its power generating capacity by building newfarms
Shunfeng Photovoltaic International, a solar farm developer controlled by Cheng Kin-ming, aims to quadruple its solar power generating capacity this year after acquiring Wuxi Suntech, a bankrupt maker of solar panels.
Shunfeng chairman Zhang Yi said the company aimed to build 3 gigawatts of solar farms this year. It has 0.89GW of installed solar capacity connected to the power grid.
"We aim to add 3GW in each of this year, next year and 2016, so that by the end of 2016 we will have 10GW," Zhang said yesterday.
He estimated that it would cost between 24 billion yuan (HK$30.7 billion) and 27 billion yuan to add 9GW over the next three years.
Zhang said the company was confident of being able to finance the ambitious expansion, since it had been able to fund 80 per cent of the installation costs for past projects through bank loans and the rest using its own funds.
"We already have 1.3 billion yuan of lines of credit outside the mainland and over 1 billion yuan from mainland banks, while several other banks are soliciting to lend to us," he said.
Zhang said he expected the projects to generate an annual rate of return of 10 to 15 per cent.
CLSA's head of sustainable research, Charles Yonts, said the 3GW annual target was "extremely ambitious for a relatively small private firm" because it was 25 per cent of the mainland's target of adding 12GW of new solar capacity this year.....
www.scmp.com/business/commodities/article/...y-after-acquiring
Following its acquisition of Wuxi Suntech last year, the mainland firmplans to quadruple its power generating capacity by building newfarms
Shunfeng Photovoltaic International, a solar farm developer controlled by Cheng Kin-ming, aims to quadruple its solar power generating capacity this year after acquiring Wuxi Suntech, a bankrupt maker of solar panels.
Shunfeng chairman Zhang Yi said the company aimed to build 3 gigawatts of solar farms this year. It has 0.89GW of installed solar capacity connected to the power grid.
"We aim to add 3GW in each of this year, next year and 2016, so that by the end of 2016 we will have 10GW," Zhang said yesterday.
He estimated that it would cost between 24 billion yuan (HK$30.7 billion) and 27 billion yuan to add 9GW over the next three years.
Zhang said the company was confident of being able to finance the ambitious expansion, since it had been able to fund 80 per cent of the installation costs for past projects through bank loans and the rest using its own funds.
"We already have 1.3 billion yuan of lines of credit outside the mainland and over 1 billion yuan from mainland banks, while several other banks are soliciting to lend to us," he said.
Zhang said he expected the projects to generate an annual rate of return of 10 to 15 per cent.
CLSA's head of sustainable research, Charles Yonts, said the 3GW annual target was "extremely ambitious for a relatively small private firm" because it was 25 per cent of the mainland's target of adding 12GW of new solar capacity this year.....
www.scmp.com/business/commodities/article/...y-after-acquiring
