SunPower strikes $165mn deal for Total solar unit
By TESS STYNES
SunPower Corp. agreed to acquire a Total solar energy unit for $165.4 million in a deal that will expand the solar-panel company's presence in large-scale projects.
SunPower shares were up 26% in premarket trading at $7.38. Through Thursday's close, however, the stock is off roughly 55% in the past year.
Under the deal, expected to close early next year, Sunpower will pay $165.4 million for Total's Tenesol business and Total, its biggest shareholder, has agreed to acquire an additional 18.6 million SunPower shares in a private placement for $8.80 each, a roughly 50% premium to Thursday's close.
The move raises Total's stake in SunPower to roughly 66%.
Tenesol posted €240 million ($313.4 million) in revenue last year and expects to report revenue of about €200 million for 2011.
Sunpower and Total also agreed to pursue negotiations for several additional agreements related to direct investments in SunPower's research and development.
Dow Jones Newswires
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