Wuxi, China [RenewableEnergyWorld.com] Suntech Power Holdings Co., Ltd. announced that it intends to offer an aggregate of US $425 million convertible senior notes due 2013, in a private offering to qualified institutional buyers. In some circumstances, the notes will be convertible into, at Suntech’s election, cash, American depositary shares (ADSs) representing Suntech’s ordinary shares or a combination of cash and ADSs.
The interest rate, conversion price and other terms of the notes will be determined at the time of pricing of the offering. Suntech currently plans to use approximately US $300 million of the net proceeds from the offering for purchasing upstream supplies and the balance for production capacity expansion and new technology commercialization.
Suntech expects to use any additional net proceeds for general corporate purposes and for potential acquisitions of, or investments in, businesses and technologies that it believes will complement its current operations and its expansion strategies.