Canadian Solar to acquire Recurrent Energy for $265m

3 February 2015 (Last Updated February 3rd, 2015 18:30)

Canadian Solar has signed a $265m agreement with Japanese power manufacturer Sharp for the acquisition of Recurrent Energy, a solar power developer in North America.

Canadian Solar has signed a $265m agreement with Japanese power manufacturer Sharp for the acquisition of Recurrent Energy, a solar power developer in North America.

The acquisition boosts the solar project pipeline for the Canadian firm by approximately 4GW to 8.5 GW, and its late-stage project pipeline by nearly 1GW to 2.4GW.

Canadian Solar Chairman and chief executive officer Dr Shawn Qu said: "By combining Canadian Solar’s global reach and experience with Recurrent’s proven solar energy development track record in the US and Canada, we are significantly expanding the scale of our solar energy development platform.

"We are significantly expanding the scale of our solar energy development platform."

"At the same time, this transaction broadens our strategic options to extend our business model from development and construction into potential ownership and operation of solar power plants as we work to create additional value for our shareholders."

This deal also raises the project development and financing capabilities of the Canadian power company.

Recurrent Energy chief executive officer Arno Harris said: "Canadian Solar is a key player in the industry and we are fortunate that our collective visions for the future of the solar market are very much aligned.

"We look forward to close collaboration with our new parent company to bring solar power further into mainstream energy markets."

Expected to close within the first quarter of 2015, the deal still awaits customary conditions and regulatory approvals.