As learned from EnergyTrend, on the evening of January 16, TCL Zhonghuan issued an announcement regarding the planning of external investment and the signing of a cooperation framework letter of intent, declaring its plan to invest in Das-Solar.
Cooperation Details
According to the contents of the cooperation framework letter of intent, TCL Zhonghuan intends to invest in the target company through means such as equity transfer, acceptance of voting rights entrustment, and capital increase.In this transaction, the major shareholders plan to transfer all or part of their equity holdings in the target company. The specific transfer price, transaction method and other details shall be separately agreed upon in the formal agreements to be signed by the relevant parties.
Investment Purpose and Implications
TCL Zhonghuan stated that this strategic deployment aims to fully leverage the company’s advantages in technology, scale and efficiency, so as to accelerate the advancement of its moderate integration strategy. Behind this investment lies TCL Zhonghuan’s comprehensive considerations of both the industry landscape and its own development needs.
From an industrial perspective, relying on its core advantage of maintaining the world’s top market share in photovoltaic wafer shipments, TCL Zhonghuan will give full play to its leading role among head enterprises, drive the consolidation and upgrading of the PV industry, further enhance the overall operational efficiency and economic benefits of the sector, facilitate the healthy and sound development of the industry, and consolidate its position as a leading player.
Meanwhile, this investment focuses on key assets that align with the company’s long-term strategy, which will effectively improve its industrial chain layout and address the shortcomings in business development. It will also enable the coordinated optimization of photovoltaic cell and module production capacity, enrich the product portfolio and customer structure, and boost the overall competitiveness.
The in-depth integration of technological resources between the two parties will also become a key highlight. This cooperation will accelerate the R&D breakthroughs in advanced technologies such as BC cells and related products, helping TCL Zhonghuan continuously consolidate and enhance its core competitiveness and leading position in the global photovoltaic industry.
TCL Zhonghuan reminded in the announcement that the proposed external investment project is still in the planning stage. The relevant plan needs further demonstration, communication and negotiation, and there are uncertainties at present. The signed Cooperation Framework Letter of Intent is only a non-binding framework document, and the specific investment methods and terms shall be subject to the formal agreements signed by all parties.
Source：EnergyTrend