Canadian Solar solely owned subsidiary, Recurrent Energy, closes financing on its solar power project of 100 megawatts in Astoria.
Canadian Solar’s exclusively owned subsidiary, Recurrent Energy, has recently closed finances for its 100Megawatt Astoria Solar Plant Project, as announced on November 19. The company subsidiary is one of North America’s major projects developing firms. The subsidiary has closed a debt facility for the project, which is under constructions in California currently.
The solar power company’s recently financed plant will be operational by the fourth quarter of next year, using 46 GE 1500PV inverters. This project will be able to create solar power that can provide energy to around 33,250 houses. The produced energy and electricity are planned to be sold under the agreements of power purchases.
Recurrent Energy is going to manage the plant as it will own the facility. This project has two parts; one is completed, meaning that half of the project is complete, while the other half’s finances are expected to be provided by the end of the year. The renewable energy company’s chairman and Chief executive officer showed his appreciation to all the lenders and investors saying, “GE is a widely respected renewable energy investor and we are proud to begin this partnership for the Astoria project. It is also a privilege to continue our work with this group of lender as our team continues a long history of successful solar development in Southern California.”
The Astoria project is GE energy financial services’ newest investment in renewable energy, which invested over $2 billion in around 2 gigawatts of solar power plants and projects around the world and is still investing $1 billion every year. GE is a digital industrial company and the Astoria project will be situated in Kern County.
In other news regarding the company, it has had many difficulties in it business, from gaining huge amount of profit to a sudden push of losing millions of dollars. It announced its third quarter earning recently which showed that it revenue fell by 7.1% compared to the previous year. Currently, it has expansion plans, expecting to have 3.4 gigawatts and 5.6 gigawatts of solar module capacity by 2016. This is risk from an investor’s point of view as the company is planning to expand very rapidly, which is not always a healthy move for a business or its shares, as there are chances of having too many debts to pay later. It should aim to make its product better so that it can push margins.
Canadian solar stock closed at $ 20.57, going red by -2.88% on November 19.
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