Risen Energy has received the company board’s green signal to issue offshore bonds
It aims to issue up to €500 million in overseas bonds either on Euronext or other overseas exchanges
It will use the proceeds for general corporate purposes, debt replacement and replenishment of working capital
Chinese solar PV manufacturer Risen Energy plans to issue offshore bonds worth up to €500 million as it seeks expansion of its financing channels to support business development and optimize debt structure.
According to a company announcement, the overseas bonds proposal, as approved by the company board, factors in the flexibility of fund use and the current overseas business situation and the current market situation of overseas bonds.
“The issuance of overseas bonds will help further broaden the company's financing channels, optimize its financing structure, and meet the company's business needs. It will meet the business development needs, help expand overseas markets, and further promote the sustained, healthy and rapid development of the company's business,” it stated.
As per the plan, Risen will launch offshore bonds worth up to €500 million, or equivalent in other currencies, on Euronext or other overseas exchanges, with a maturity of no more than 5 years. The overseas bond will have a fixed or a floating rate. Proceeds will be deployed for general corporate purposes, debt replacement, and replenishment of working capital, etc.
Risen’s revenues in H1 2024 suffered owing to low prices and disruption in the supply chain as it posted a net loss of about RMB -962 million. As a result, it delayed its new 5 GW n-type low-carbon high-efficiency heterojunction (HJT) solar cell and 10 GW module manufacturing projects. The decision also impacts its upcoming Global High-Efficiency Photovoltaic R&D Center project (see Risen Energy Delays Manufacturing Projects; Posts Net Loss in H1 2024).
The company recently spoke about its efforts to advance the technological progress of heterojunction at the TaiyangNews High Efficiency Solar Technologies 2024 Conference (see HJT, Cornerstone Of Risen Energy’s PV Advancements).
Risen’s offshore bond plans follow those of other Chinese enterprises that are increasingly seeking to raise capital in Europe. In 2024, inverter and energy storage systems manufacturer Sungrow and vertically integrated solar PV manufacturer JinkoSolar revealed plans to list on the Frankfurt Stock Exchange by issuing shares in the form of Global Depositary Receipts.