SAN FRANCISCO, Calif., and WUXI, China, June 30 /PRNewswire-Asia/ --
Suntech Power Holdings Co., Ltd. (NYSE: STP), the world's largest manufacturer
of crystalline silicon photovoltaic (PV) modules, announced today that it has
signed a US$50 million convertible loan agreement with IFC, a member of the
World Bank Group, to support Suntech's transition to the high efficiency Pluto
technology and debt refinancing requirements. Suntech is permitted to draw the
loan upon satisfaction of various conditions precedent, which Suntech believes
it will satisfy within 30 days.
The convertible loan has a fixed rate coupon of 5.0% per annum payable on
June 15 and December 15 in each year. If not converted, the loan will be
repayable in full 7 years after the date of drawdown. The conversion price of
the loan is US$18.00 per American depositary share (ADS), which was set at a
premium over the average trading price over 20 trading days immediately prior
to notice that IFC's board had approved the convertible loan.
"We are pleased that IFC, a world class investment institution that
supports sustainable development, has agreed to provide Suntech with a
convertible loan of $50 million," said Dr. Zhengrong Shi, Suntech's Chairman
and CEO. "These additional funds will strengthen Suntech's financial position
and support our transition to the high efficiency Pluto technology as we
progress towards our goal of providing grid parity solar solutions."
"IFC is pleased to support Suntech, one of the leaders in the solar PV
industry," said Randall Riopelle, Manager, Global Manufacturing & Services
Department. "We are pleased to be partnering with a company focused on
developing best in class technology and which has demonstrated a firm
commitment to the highest corporate responsibility standards. We look forward
to working with Suntech as solar energy becomes an increasingly important
source of renewable energy for China and for the world."
IFC, a member of the World Bank Group, creates opportunity for people to
escape poverty and improve their lives. We foster sustainable economic growth
in developing countries by supporting private sector development, mobilizing
private capital, and providing advisory and risk mitigation services to
businesses and governments. Our new investments totaled $16.2 billion in
fiscal 2008, a 34 percent increase over the previous year. For more
information, please visit http://www.ifc.org .
Suntech Power Holdings Co., Ltd. (NYSE: STP) is the world's leading solar
energy company as measured by production output of crystalline silicon solar
modules. Suntech designs, develops, manufactures, and markets premium-quality,
high-output, cost-effective and environmentally friendly solar products for
electric power applications in the residential, commercial, industrial, and
public utility sectors. Suntech's patent-pending Pluto technology for
crystalline silicon solar cells improves power output by up to 12% compared to
conventional production methods.
Suntech also offers one of the broadest ranges of building-integrated
solar products under the MSK Solar Design Line(TM). Suntech designs and
delivers commercial and utility scale solar power systems through its wholly
owned subsidiary Suntech Energy Engineering and will own and operate projects
greater than 10 megawatts in the United States through Gemini Solar
Development Company, a joint venture with Renewable Ventures, a Fotowatio
company. With regional headquarters in China, Switzerland and San Francisco
and sales offices worldwide, Suntech is passionate about improving the
environment we live in and dedicated to developing advanced solar solutions
that enable sustainable development. For more information, please visit
Safe Harbor Statement
This press release contains forward-looking statements. These statements
constitute "forward-looking" statements within the meaning of Section 21E of
the Securities Exchange Act of 1934, as amended, and as defined in the U.S.
Private Securities Litigation Reform Act of 1995. These forward-looking
statements can be identified by terminology such as "will," "expects,"
"anticipates," "future," "intends," "plans," "believes," "estimates" and
similar statements, and include the ability of Suntech to satisfy conditions
precedent to draw the convertible loan; the ability of such funds to support
Suntech's growth initiatives; and Suntech's ability to provide grid parity
solutions. Such statements involve certain risks and uncertainties that could
cause actual results to differ materially from those in the forward-looking
statements. Further information regarding these and other risks is included in
Suntech's filings with the U.S. Securities and Exchange Commission, including
its annual report on Form 20-F. Suntech does not undertake any obligation to
update any forward-looking statement as a result of new information, future
events or otherwise, except as required under applicable law.
For further information, please contact:
Investor Relations Director
Suntech Power Holdings, Co. Ltd.
In the U.S.:
Sanjay M. Hurry
The Piacente Group, Inc. (Investor Relations Counsel, Suntech)
SOURCE Suntech Power Holdings Co., Ltd.
/CONTACT: In China: Rory Macpherson, Investor Relations Director of
Suntech Power Holdings, Co. Ltd., +86-21-6288-5574, or firstname.lastname@example.org;
Or In the U.S.: Sanjay M. Hurry, Vice President of The Piacente Group, Inc.
(Investor Relations Counsel, Suntech), +1-212-481-2050, or email@example.com/
/Web site: http://www.suntech-power.com /
CO: Suntech Power Holdings Co., Ltd.; IFC
IN: ENV OIL UTI GRE
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8013 06/30/2009 09:24 EDT http://www.prnewswire.com