ReneSola Power Closes Previously Announced Acquisition of Selected Assets of Nova Development

Rhea-AI Summary

ReneSola Ltd (NYSE: SOL) has closed the acquisition of selected solar and solar-plus-storage assets from Nova Development Management for approximately $3.8 million. This purchase adds roughly 200 MW to ReneSola's development pipeline and brings an experienced project development team into the company. The acquisition enhances ReneSola's position in the U.S. market, particularly in small-scale utility projects, and underscores the company's strategic focus on expanding its solar energy capabilities.

Positive

• Acquisition increases development pipeline by approximately 200 MW.
• Brings expertise in U.S. distributed generation and small-scale utility projects.
• Strengthens position in several states, including Pennsylvania and California.
• Cash transaction aligns with strategic priorities of current shareholders.

Negative

• None.

STAMFORD, Conn., Nov. 18, 2020 /PRNewswire/ -- ReneSola Ltd ("ReneSola Power" or the "Company") (www.renesolapower.com) (NYSE: SOL), a leading fully integrated solar project developer, today announced the successful closing of the acquisition of selected assets, including DG and solar-plus-storage projects, from Nova Development Management, for a gross purchase price of approximately $3.8 million.  The acquisition has immediately increased Renesola Power's development pipeline by approximately 200 MW, and has added an experienced solar project development team.  

Mr. Yumin Liu, Chief Executive Officer of ReneSola Power, commented, "We are pleased to reach this important milestone for the Company, its employees and shareholders. The assets we purchased from Nova Development Management are an excellent strategic and operational fit with our business.  We expect the acquisition to strengthen our position in the U.S. market and to expand our presence into small-scale utility market.  Importantly, we are expanding the scale of our solar energy development platform and driving value for all stakeholders."

Well-Positioned for Growth

The market focus of the solar project assets being acquired is highly complementary with ReneSola Power's existing business. In particular, the new team brings expertise in the development of U.S. distributed generation and small-scale utility projects with battery storage, which is expected to augment the Company's historical strength in U.S. community solar and European DG.

The acquisition has immediately increased Renesola Power's development pipeline by approximately 200 MW. It provides the Company with access to utility projects and development activities in a number of states, including Pennsylvania, California, New York, Maine, Illinois and Arizona. In addition, this transaction strengthens the Company's capabilities and scale, and enhances its position for creating value in the quarters ahead.

Financial Terms

Instead of an all-stock transaction as previously announced, ReneSola Power used approximately $3.8 million of cash on hand to complete the acquisition.  The all-cash transaction aligns the Company's strategic priorities with the interests of its current shareholders.

About ReneSola Power

ReneSola Power (NYSE: SOL) is a leading global solar project developer and operator. The Company focuses on solar power project development, construction management and project financing services. With local professional teams in more than 10 countries around the world, the business is spread across a number of regions where the solar power project markets are growing rapidly, and can sustain that growth due to improved clarity around government policies. The Company's strategy is to pursue high-margin project development opportunities in these profitable and growing markets; specifically, in the U.S. and Europe, where the Company has a market-leading position in several geographies, including Poland, Hungary, Minnesota and New York.

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SOURCE ReneSola Ltd.

FAQ

What assets did ReneSola acquire from Nova Development Management?

ReneSola acquired selected solar and solar-plus-storage assets worth approximately $3.8 million.

How much did ReneSola pay for the Nova Development Management assets?

ReneSola paid approximately $3.8 million in cash for the acquisition.

How will the acquisition impact ReneSola's development pipeline?

The acquisition will increase ReneSola's development pipeline by approximately 200 MW.

What markets will ReneSola expand into following the acquisition?

The acquisition will enhance ReneSola's presence in the U.S. small-scale utility market and several states including Pennsylvania, California, and New York.

Who commented on the acquisition on behalf of ReneSola?

Yumin Liu, the CEO of ReneSola, commented on the acquisition.