China Sunergy will use US$160 million in financing and credit facilities from China Development Bank to boost c-Si cell capacity and pursue market opportunities with the funds under improved working capital. China Development Bank signed the contracts with China Sunergy's two domestic subsidiaries, China Sunergy (Nanjing) and CEEG (Nanjing) Renewable Energy Co., which was acquired from affiliated company CEEG in November 2010.
“We will use this financial support to execute strategic business plans and further implement our leading technology,” commented, Stephen Cai, CEO of China Sunergy. “Despite the challenging market environment in recent months, the bank made available the facility to us based on the knowledge that this industry is heading towards its sustainable future of grid parity. CDB is thinking ahead to provide the needed capital to Chinese solar manufacturers to help position them for future growth.”
Both subsidiary companies had already announced plans to expand solar cell capacity to 1GW at a cost of US$277 million.