By Patricia Kuo
July 18 (Bloomberg) -- Trina Solar Ltd., a Chinese maker of solar power cells and modules, raised $120 million from its first convertible bond sale to fund production expansion, according to an e-mail sent to investors.
Investors can hand over the 4 percent five-year bonds for Trina Solar's shares at $33.88 each, about 11 percent more than the closing price yesterday, according to the term sheet. The deal can be increased by $18 million to meet extra demand from investors. Credit Suisse Group AG, ABN Amro Holding NV, and Deutsche Bank AG managed the sale.
New York-listed Trina Solar plans to use $90 million of the proceeds to expand production lines of silicon ingots, wafers, solar cells and solar modules. It will also spend $20 million for the purchase of raw materials, and the remainder will be for product development and general corporate purposes, the term sheet shows.
The company, based in China's eastern Jiangsu province, plans to double its installation capacity to 300 megawatts by the end of this year, according to its Web site.
Trina Solar has fallen 43 percent this year. The stock closed down 8.5 percent yesterday to $30.61.
The company said on July 16 second-quarter sales will be more than it had forecast because of rising demand. Revenue in the quarter will be between $200 million to $205 million, up from earlier projection of $169 million and $177 million. Its first- quarter profit more than doubled to $12.9 million on record demand and higher prices for rooftop panels.
The company shipped an estimated 47 megawatts of photovoltaic modules in the second quarter. Trina said it expects to meet or exceed full-year revenue forecasts of $770 million to $808 million.
To contact the reporter for this story: Patricia Kuo in Hong Kong at pkuo2@bloomberg.net.
Last Updated: July 18, 2008 03:48 EDT
No comments:
Post a Comment