Kong Sun inks USD-157m deal with JIC Trust for Chinese PV

Hong Kong-based investor Kong Sun Holdings Ltd (HKG:0295) said Wednesday it has signed a CNY-1-billion (USD 157m/EUR 141m) financing agreement with JIC Trust Co Ltd in support of its photovoltaic (PV) projects in China.

The companies entered into a memorandum of cooperation on September 30, under the terms of which they intend to set up one or more trusts in order to secure the funding. Afterwards, JIC Trust will take control of as much as a 49% stake in the project companies by way of equity acquisition, provision of trust financing or issuance of convertible equity, according to the statement.

The partners are yet to identify the suitable solar projects “with investment value”, Kong Sun said. They will be located in Gansu and Shaanxi provinces or in Xinjiang Uygur autonomous region.

Kong Sun aims to boost its installed solar capacity from 219.5 MW at present to 1.2 GW by end-2015. The company stressed that a definitive agreement, determining the exact terms and conditions of the transaction, it yet to be signed.

(CNY 1.0 = USD 0.157/EUR 0.141)

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