United PV to buy 930 MW of solar parks from Hareon

United Photovoltaics Group Ltd (HKG:0686) intends to acquire the owners of 930 MW of solar capacity in China from domestic sector player Hareon Solar Technology Co Ltd (SHA:600401).

Under the terms of a cooperation agreement, signed on May 13, the Hong Kong-based solar park operator will take full control of the target companies after paying CNY 8.8 billion (USD 1.42bn/EUR 1.25bn). The buyer and vendor are yet to sign definite agreements in connection with the proposed acquisitions.

United Photovoltaics, part of investor and plant operator China Merchants New Energy Group (CMNE), will settle the purchase consideration in cash or convertible bonds. The notes will have an interest rate of as much as 6%, which will start to accrue upon grid connection of the respective plants.

The transactions are subject to the completion of due diligence, securing of all relevant approvals from local authorities and other conditions. Earlier this week, United PV said it will also take over 210 MW of solar farms in the Inner Mongolia autonomous region and Zhejiang province.

(CNY 1.0 = USD 0.161/EUR 0.142)

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