This Week's Solar Recap
We're winding down a phenomenal year for solar stocks, and there don't appear to be any limits to the industry's potential. The fact that solar power is now competitive with the grid around the world means more countries are installing solar, and as they do, these once struggling companies will improve financially.
The simple fact that banks and investors are lining up to finance solar projects shows how far the industry has come.
SolarCity lines up more financing
Speaking of financing, SolarCity lined up another $200 million in financing via a three-year credit facility through Bank of America Merrill Lynch. The money will be used to fuel growth by paying for working capital.
There doesn't appear to be any issues for SolarCity in financing growth, and with a securitization deal already completed this year, the company is on its way to a goal of 1 million solar customers by 2018.
Utility-scale projects continue to drive demand
There were a number of significant project signings this week. Here are the more notable deals.
- Yingli Green Energy and a consortium it's working with won a bid to build 233 MW of projects in Algeria. The projects will be completed in 2014, and this win alone will account for about 10% of Yingli's annual module production.
- Canadian Solar signed a supply agreement with Zhenfa New Energy Science & Technology to supply 100 MW of modules for three projects in China. The modules will be shipped over the next two months.
- Trina Solar signed supply agreements for 25 MW for the Bangchak Solar Energy Project in Thailand and a 1 MW project in Jordan.
- SunPower signed a deal with Ecomax Japan to supply 20 MW of E20/327 solar panels to projects in Japan.
Utility-scale solar projects are still a large percentage of the solar projects built around the world, and winning these projects is a key to manufacturers.
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The article This Week's Solar Recap originally appeared on Fool.com.Fool contributor Travis Hoium manages an account that owns shares of SunPower. He also owns shares of SunPower and has January 2015 $5, $7, $15, $25, and $40 calls on SunPower. The Motley Fool recommends and owns shares of SolarCity. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.