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Tag Archives: Canadian Solar
Canadian Solar latest Business & Financial news from Doug Young, the Expert on Chinese High Tech Market, (former Journalist and Chief editor at Reuters)
Bottom line: Upcoming IPOs by China Postal Bank in Hong Kong and Canadian Solar’s solar plant-building unit in New York should get strong receptions, though both may have to wait until after the Christmas holidays to launch.
Conservative Postal Bank draws big investors
An upcoming mega IPO in Hong Kong by the stodgy Postal Savings Bank of China is shaping up as one of this year’s hottest new offerings, with word that it’s added domestic heavyweights including China Life (HKEx: 2628; Shanghai: 601628; NYSE: LFC) and Tencent (HKEx: 700) to its impressive list of early investors. In other IPO news across the Pacific, solar panel maker Canadian Solar (Nasdaq: CSIQ) is also drumming up hype for a new offering by its solar plant-building unit, which has landed some modest new financing from big-name western commercial lenders.
Each of these IPO stories has a different subplot, but a common theme is that both could be relatively hot despite distinctly cool sentiment these last few months towards new offshore Chinese listings. It’s not yet clear if either offering will make it to market by the end of next week, which is probably the latest they could occur before the traditional Christmas break. But even if they have to wait until next year, both could do reasonably well. Read Full Post…
Bottom line: New York has lost its appeal for listings by smaller Chinese Internet companies, but should remain attractive for sector leaders like Didi Kuaidi and Meituan-Dianping.
Chinese NY IPOs shrink sharply in 2015
China’s imminent resumption of IPOs after a 4-month pause seems like a good opportunity to review what’s shaping up as the year of the “reverse IPO” in New York by Chinese companies. Market watchers will know that I’m talking about this year’s record wave of privatization bids by US-listed Chinese firms, which saw around 3 dozen companies announce plans to de-list from New York during the year with an eye to re-listing back in China.
That’s not to say that no Chinese companies listed in New York this year, and I was able to track down at least 4 that made such offers. But those 4 collectively raised a paltry $200 million, or just a tiny fraction of the nearly $30 billion that Chinese companies raised in a record year for New York IPOs in 2014. Read Full Post…
The following press releases and media reports about Chinese companies were carried on November 21-23. To view a full article or story, click on the link next to the headline.
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Google (Nasdaq: GOOG) Aims for China Launch of App Play Store Next Year: Sources (English article)
China Restarts IPO Process for 10 Companies as Stocks Stabilize (English article)
Bottom line: Major new financing for Recurrent Energy and Apple’s growing partnership with SunPower reflect technology advances that are making solar power plants increasingly competitive with traditional sources.
Recurrent wins financing for major new solar plant
Two solar power plant builders are in the headlines today, reflecting a shift that is seeing this new generation of companies take the spotlight from older solar panel makers that are desperately seeking new buyers for their products. The first headline has solar panel maker Canadian Solar (Nasdaq: CSIQ) announcing that its Recurrent Energy plant-building unit has secured financing for a major new US project, as Recurrent gets set for its own New York IPO as a separate company. The second story has US-based SunPower (Nasdaq: SPWR) emerging as the main partner for Apple’s(Nasdaq: AAPL) recent ambitious plans to build solar power plants in China.
The bigger picture behind both of these stories is that plant builders like Recurrent and SunPower could emerge as the next hot tickets in the solar energy sector. That’s because these companies are quickly gaining expertise in the field of solar plant construction and operation, and could benefit from a future boom when such plants should finally become commercially competitive with plants powered by traditional fossil fuels. Read Full Post…
The following press releases and media reports about Chinese companies were carried on November 20. To view a full article or story, click on the link next to the headline.
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Bottom line: Weak share reactions to upbeat news from Trina, ReneSola and Ming Yang reflect investor skepticism towards new energy stocks, as they face lingering issues of overcapacity and phasing out of government subsidies.
Investors pour rain on upbeat new energy news
A flurry of upbeat news is in the headlines today from 3 of China’s largest new energy equipment makers, led by a return to the profit column for solar panel maker ReneSola (NYSE: SOL) after a year in the red. At the same time, wind power equipment maker Ming Yang (NYSE: MY) also announced its latest quarterly results that were quite upbeat, and solar panel maker Trina (NYSE: TSL) said it obtained a modest new financing from some major global lenders.
But contrary to expectation, investors greeted the string of upbeat news by dumping shares of all 3 companies, reflecting a high degree of skepticism in the market. Ming Yang led the downward migration, with its shares slipping 3.7 percent after it announced its latest quarterly results. Its shares now trade more than 17 percent below the price for a previously announced buyout bid to take the company private. Read Full Post…
Bottom line: New York IPO plans by a Canadian Solar unit and Solar Power Inc could auger a new wave of similar listings by Chinese new energy power plant builders, offering investors a higher growth alternative to traditional utilities.
Solar Power Inc banks on solar plant construction
Just a day after solar panel maker Canadian Solar (Nasdaq: CSIQ) announced it has spun off its fast-growing solar power plant-building unit for a US listing, another China-based peer is discussing plans for a similar IPO. This time a company called Solar Power Inc is the one disclosing plans for a New York listing to raise up to $300 million, in an emerging trend that’s seeing the rise of a new generation of specialty solar energy plant builders and operators.
A secondary trend in this sudden spurt of new activity also looks encouraging for New York, which has become a pariah these days among Chinese companies that feel US investors are undervaluing their stocks. These 2 new listing plans by Canadian Solar and now Solar Power acknowledge that New York is still an attractive option for certain kinds of Chinese companies, which I’ll address towards the end of this post. Read Full Post…
Bottom line: Canadian Solar is likely to target at least $100 million in an IPO for its power plant-building unit before year end, which could be an attractive investment alternative for buyers of traditional utility stocks.
Canadian Solar IPO spotlights plant construction
Just days after announcing big new financing for its unit focused on solar power plant construction, Canadian Solar (Nasdaq: CSIQ) is taking a big new step by disclosing it is preparing an IPO to separately list that unit. The move marks the latest wrinkle in the evolving story for Chinese solar panel manufacturers, which are quickly becoming their own best customers by selling their products to solar plants that they build themselves.
Canadian Solar and some of its peers have actually engaged in this kind of plant construction for a while, though the pace has picked up in the last couple of years. But the latest trend marks a divergence from the past, since Canadian Solar and others are now becoming long-term owners of the plants they build and putting them into wholly-owned units that look like a solar equivalent of traditional power utilities. In the past, Canadian Solar and the others would simply build solar plants, and then sell them to independent long-term owners upon completion. Read Full Post…
The following press releases and media reports about Chinese companies were carried on November 5. To view a full article or story, click on the link next to the headline.
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Canadian Solar (Nasdaq: CSIQ) Submits Confidential YieldCo Registration Statement (PRNewswire)
Dali Foods Seeks Up to $1.34 Bln in Hong Kong IPO (English article)
Wanda Closing Dept Stores, Suning (Shenzhen: 002024) to Take Over Some (Chinese article)
Mindray (NYSE: MR) Enters into Definitive Merger Agreement for Going Private (PRNewswire)
Tongcheng Forms JV with Japanese Travel Agent HIS (Chinese article)
Bottom line: New financing deals for Canadian Solar and Trina reflect the growing role of solar panel makers as power plant builders, and could provide some stability to the sector by providing a more reliable stream of new projects.
Trina, Canadian Solar get new financing
Two big new financing deals are shining a spotlight on a major shift taking place in the solar panel sector, with manufacturers increasingly moving into the field of solar farm development. The shift is seeing solar panel makers become their own best customers, buying up panels for use in solar farms that they build themselves. The latest headlines have Canadian Solar (Nasdaq: CSIQ) and Trina (NYSE: TSL) securing major new financing for such construction, in 2 deals that are both quite large but also very different in nature.
Solar panel makers have been building their own plants for several years now, though the trend has accelerated in the last year. The traditional model was for them to build solar farms using their own panels, and then sell those plants to longer-term buyers. But in an interesting twist to that story, solar panel makers may be looking to hold those farms themselves and put them into separate units, my sources say. Those units could then be spun off later into separate publicly listed companies, in a play that would look like a new energy version of traditional power utilities. Read Full Post…
The following press releases and media reports about Chinese companies were carried on October 30. To view a full article or story, click on the link next to the headline.
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