SunPower Announces JV In China - Quick Facts

(RTTNews) - SunPower Corp. (SPWR, SPWRB, SPWRA) Friday announced its definitive agreement with Tianjin Zhonghuan Semiconductor Co., Ltd.; Sichuan Development Holding Co., Ltd.; Leshan Electric Power Co., Ltd.; and Tianjin Tsinlien Investment Holding Co., Ltd. to form a joint venture.

The JV plans to develop and own at least three gigawatts of photovoltaic power plants in the People's Republic of China. The power plants, to be located in the Sichuan Province, are expected to be built primarily with high-efficiency, low-concentration photovoltaic technology.

The JV is expected to incorporate the proprietary LCPV SunPower C7 Tracker technology into the power plants planned for development.

The definitive agreement provides that SunPower will invest up to $20 million, amounting to a 4.6 percent ownership stake in the venture. The joint venture is subject to the approval of the PRC government, with initial LCPV deployment expected to begin in 2015.

The stock, which closed at $29.60 on Thursday, added 2.5 percent in pre-market activity.