Oct 21, 2014 - US photovoltaic (PV) projects developer SPI Solar (OTCMKTS:SOPW) said today it had wrapped up its sale of USD 43.8 million (EUR 34.4m) worth of common stock in a private placement.
The company noted it will use the net proceeds to grow its global PV project operations, beef up its Yes! Solar business line for the residential and small business segments as well as for working capital purposes. Furthermore, it will use a portion to finance a fresh investment in China-based Guocang Group Ltd (HKG:0559).
SPI sold a total of 31.74 million common shares at USD 1.38 apiece to non-US investors. Chinese property developer Evergrande Real Estate Group Ltd (HKG:3333) was the lead investor in the private placement.
Previously, SPI and Evergrande agreed to each make a strategic investment in diversified group Guocang. More specifically, SPI is to buy some USD-30-million of Guocang shares. Following the proposed transaction, the three companies will collaborate on the development of solar schemes in China.
SPI Solar is majority-owned by China's LDK Solar Co Ltd (NYSE:LDK), which is in provisional liquidation in the US.