Tags: solar | stocks | sunways | china | ldk

Solar Stocks Rise as China Firm Makes Acquisition

Tuesday, 03 Jan 2012 06:22 PM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
Solar stocks gained after LDK Solar Co., China’s second-largest panel maker, agreed to buy Sunways AG of Germany, the first acquisition by a Chinese solar company in the world’s largest photovoltaic market.

Bloomberg Global Leaders Solar Index of 37 companies rose 3.7 percent, the most in two weeks, led by a 7.9 percent gain in Hanwha SolarOne Co.

LDK offered to purchase Sunways, a solar-cell and module maker, for about 24.2 million euros ($31.4 million). A record 7,400 megawatts of solar capacity was installed in Germany in 2010. The two companies said Monday the deal is expected to close by the end of the first quarter.

“We’re moving into a phase in the industry’s development where we’re going to see increased M&A,” Alex Morris, an analyst at Raymond James & Associates Inc. in Houston, said in an interview. “We’re in an oversupplied market right now, and some of these guys need to be taken out just to take some capacity off the table.”

Hanwha SolarOne rose 8 cents to $1.06 at the close in New York. Trina Solar Ltd. climbed 7.3 percent to $7.17, its biggest gain since Dec. 20.

German Chancellor Angela Merkel will host French President Nicolas Sarkozy in Berlin next week to prepare for the European council meeting on Jan. 30. Merkel said on Jan. 1 that she will “do everything to strengthen the euro.”

“Signs of stability in Europe may be considered a positive for the industry,” Daniel Ries, an analyst at Collins Stewart LLC in New York, said by telephone. “If the euro were to collapse this year, that would be very harsh for the solar industry, with the largest demand pool still in Europe.”

© Copyright 2014 Bloomberg News. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
You May Also Like

Zhudi Jasser: White House Lacks 'Courage' to Use the Word 'Muslims'

Monday, 21 Apr 2014 10:45 AM

The White House lacks "courage" to use the word "Muslims" when admonishing communities to look for extremist tendencies  . . .

Pastor Imprisoned in Iran Issues Easter Message

Monday, 21 Apr 2014 10:31 AM

Saeed Abedini, the 33-year-old Christian pastor imprisoned in Iran, sent out an Easter letter written in the Tehran hosp . . .

US: 'Green Men' Seizing Buildings in Ukraine Are Russian

Monday, 21 Apr 2014 10:25 AM

Some of the "green men" photographed in eastern Ukraine have been identified as Russian soldiers seen in other locations . . .

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved