Chinese solar project developer ReneSola Ltd (NYSE:SOL) has brought in a strategic investor for its distributed generation (DG) business in China.
The unnamed inventor has made a CNY-200-million (USD 31.4m/EUR 26.2m) cash investment, taking a 40.13% stake in Zhejiang ReneSola Investment Ltd, the ReneSola unit that holds the company's Chinese DG projects, the solar company said today. ReneSola, which exited manufacturing last year, currently operates more than 187 MW of DG projects and aims to own 350 MW-400 MW in China by the end of 2018.
Chief executive Xianshou Li said the capital injection will allow the company to execute its downstream project development plan in China and expressed confidence that developing DG projects in the country will continue to drive growth in 2018 and beyond.
ReneSola said it was close to selling a minority stake in its China DG holdco when reporting results last week.
The company says its operating DG projects are located in a handful of eastern provinces with positive conditions for DG development.
China's solar capacity grew by 9.65 GW in the first quarter of 2018, of which 7.68 GW were DG systems, according to data by China’s National Energy Administration (NEA).