United PV cuts target for solar acquisitions in half
Oct 8, 2014 - Hong Kong-based solar plants operator United Photovoltaics Group Ltd (HKG:0686) may acquire as little as 500 MW of solar projects this year rather than the previously targeted 1 GW.
The reason for the reduction of the target is the intensified competition in the sector, company spokesperson Stephan Yao said on a conference call today, as cited by Bloomberg. United PV’s initial plan was to spend some CNY 10 billion (USD 1.63bn/EUR 1.29bn) on such purchases. The news agency also quoted chief project officer Zou Deyu as saying that the company will look for schemes in the northwest and Jiangsu, Shandong and Hebei provinces.
Also on Wednesday, United PV sent a circular to its shareholders regarding its planned disposal of a 70% stake in its loss-making silicon solar cell production unit, Fortune Arena Ltd. The majority stake in the business will be sold for HKD 217 million (USD 28m/EUR 22m) to Power Solar Investments Ltd, a British Virgin Islands-incorporated investment holding firm owned by Chung Rai Lin. The shareholders of the company will meet on October 24 to cast their votes on the transaction, which is expected to be completed by November 28, 2014.