SunEdison Inc. shares surged 37 per cent on Tuesday after the US-based solar company announced that it would sell projects in India. The 37 per cent gain was the biggest for the New York Stock Exchange-listed firm in 14 years.
SunEdison, which operates Indian solar plants with capacity of about 450 MW, on Tuesday, said that it will sell projects in India with generating capacity of 425 megawatts (MW) to TerraForm Global Inc for $231 million. The proceeds were used to pare a $410 million margin loan the company took out with Deutsche Bank in early 2015.
SunEdison has another 800 MW of capacity under development and recently won a tender for a 500 MW plant in the state of Andhra Pradesh.
"We continue to expand in India ... It will become a country of even more importance for us," Pashupathy Gopalan, SunEdison Asia Pacific's president, told Reuters on Tuesday.
India is targeting 100 gigawatts of solar power by 2022, or about 33 times today's level, to help to address chronic power shortages.
Up to Monday's close, SunEdison's shares had lost nearly 69 per cent of their value since October 7 when the company said it would stop sales of renewable energy assets to its "yieldcos" and sell more projects to third parties. Sales to third-parties generally mean higher prices for the assets.
Yeildcos are dividend-paying units that hold generating assets of a parent solar or wind power company.
SunEdison, which grew quickly through acquisitions, has been plagued by liquidity concerns, and the company reported a bigger-than-expected quarterly loss earlier this month. The company has around $11.5 billion in debt currently.
Mr Gopalan said SunEdison continued to look at selling projects in various countries to raise capital.
"To grow you need capital. Our balance sheet does not have the necessary capital," he said.
SunEdison has terminated a deal to buy Continuum Wind Energy, which has most of its assets in India, he added.
(With inputs from Reuters)
SunEdison Inc. shares surged 37 per cent on Tuesday after the US-based solar company announced that it would sell projects in India. The 37 per cent gain was the biggest for the New York Stock Exchange-listed firm in 14 years.
SunEdison, which operates Indian solar plants with capacity of about 450 MW, on Tuesday, said that it will sell projects in India with generating capacity of 425 megawatts (MW) to TerraForm Global Inc for $231 million. The proceeds were used to pare a $410 million margin loan the company took out with Deutsche Bank in early 2015.
SunEdison has another 800 MW of capacity under development and recently won a tender for a 500 MW plant in the state of Andhra Pradesh.
"We continue to expand in India ... It will become a country of even more importance for us," Pashupathy Gopalan, SunEdison Asia Pacific's president, told Reuters on Tuesday.
India is targeting 100 gigawatts of solar power by 2022, or about 33 times today's level, to help to address chronic power shortages.
Up to Monday's close, SunEdison's shares had lost nearly 69 per cent of their value since October 7 when the company said it would stop sales of renewable energy assets to its "yieldcos" and sell more projects to third parties. Sales to third-parties generally mean higher prices for the assets.
Yeildcos are dividend-paying units that hold generating assets of a parent solar or wind power company.
SunEdison, which grew quickly through acquisitions, has been plagued by liquidity concerns, and the company reported a bigger-than-expected quarterly loss earlier this month. The company has around $11.5 billion in debt currently.
Mr Gopalan said SunEdison continued to look at selling projects in various countries to raise capital.
"To grow you need capital. Our balance sheet does not have the necessary capital," he said.
SunEdison has terminated a deal to buy Continuum Wind Energy, which has most of its assets in India, he added.
(With inputs from Reuters)
SunEdison Inc. shares surged 37 per cent on Tuesday after the US-based solar company announced that it would sell projects in India. The 37 per cent gain was the biggest for the New York Stock Exchange-listed firm in 14 years.
SunEdison, which operates Indian solar plants with capacity of about 450 MW, on Tuesday, said that it will sell projects in India with generating capacity of 425 megawatts (MW) to TerraForm Global Inc for $231 million. The proceeds were used to pare a $410 million margin loan the company took out with Deutsche Bank in early 2015.
SunEdison has another 800 MW of capacity under development and recently won a tender for a 500 MW plant in the state of Andhra Pradesh.
"We continue to expand in India ... It will become a country of even more importance for us," Pashupathy Gopalan, SunEdison Asia Pacific's president, told Reuters on Tuesday.
India is targeting 100 gigawatts of solar power by 2022, or about 33 times today's level, to help to address chronic power shortages.
Up to Monday's close, SunEdison's shares had lost nearly 69 per cent of their value since October 7 when the company said it would stop sales of renewable energy assets to its "yieldcos" and sell more projects to third parties. Sales to third-parties generally mean higher prices for the assets.
Yeildcos are dividend-paying units that hold generating assets of a parent solar or wind power company.
SunEdison, which grew quickly through acquisitions, has been plagued by liquidity concerns, and the company reported a bigger-than-expected quarterly loss earlier this month. The company has around $11.5 billion in debt currently.
Mr Gopalan said SunEdison continued to look at selling projects in various countries to raise capital.
"To grow you need capital. Our balance sheet does not have the necessary capital," he said.
SunEdison has terminated a deal to buy Continuum Wind Energy, which has most of its assets in India, he added.
(With inputs from Reuters)
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