JinkoSolar secures USD 1bn in financing from CDB

Dec 6, 2012 - Chinese solar product maker JinkoSolar Holding Co Ltd (NYSE:JKS) said Friday that it had secured a USD-1-billion (EUR 775m) financing commitment from the China Development Bank (CDB) to back its expansion overseas.

Under the strategic cooperation agreement, the Guangdong Branch of the bank is to provide the funds over a period of five years to JinkoSolar (Switzerland) AG, Jinko’s platform to expand outside China. The company will use the money for mergers and acquisition and to back its downstream business, which includes solar project development.

Terms and conditions of the financing deal are yet to be determined, following approval by the parties involved.

Late in November JinkoSolar reported a third-quarter net loss of CNY 54.8 million (USD 8.8m/EUR 6.8m), against a profit of CNY 68.1 million a year earlier. Revenue for the third quarter fell 22% on the year to CNY 1.4 billion, but grew 12.2% quarter-on-quarter thanks to strong sales of solar modules. For months the company has been suffering from falling equipment prices and rising competition when it comes to solar product manufacturing.

(CNY 1 = USD 0.161/EUR 0.124)

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