October 1 (Renewables Now) - China's Shunfeng International Clean Energy Ltd (HKG:1165) has signed a non-binding memorandum of understanding (MoU) to sell its solar manufacturing business for CNY 4.7 billion (USD 684m/EUR 590m).
Under the non-binding pact, announced last week, Shunfeng will sell Jiangsu Shunfeng Photovoltaic Technology Co Ltd, the subsidiary that holds its activities in manufacturing and selling solar products, to Asia Pacific Resources Development Investment Ltd, a company owned by Cheng Kin Ming, who is also a substantial shareholder of Shunfeng.
Shunfeng said that after the potential disposal it would focus on solar project development and operation. Shunfeng also has plans to develop an energy management contract business and it is also exploring other clean energy sources as it aims to become an end-to-end provider of low-carbon and energy-saving integrated solutions.
If the sale becomes final, Shunfeng will be mainly engaged in solar power generation and the manufacturing and sales of LED products.
Shunfeng in mid-2016 signed a MoU to sell Jiangsu Shunfeng Photovoltaic Technology, the unit that bought bankrupt photovoltaic (PV) products maker Wuxi Suntech Power several years ago, to Asia-Pacific (China) Investment Management Ltd for CNY 5 billion. That agreement was scrapped at the start of 2017.
(CNY 1 = USD 0.146/EUR 0.126)