The stock in ReneSola (NYSE: SOL) rose 7.72% at $18.01 Thursday on a direct offering of shares worth $40 million.
The solar project developer said in a statement today that it struck deals with several institutional investors to sell 2.5 million of its American depositary shares at $16 each. The offering price represents around an 11% discount from Thursday’s close.
H.C. Wainwright & Co. is securing the offering.
The company, now based in Stamford, Connecticut, but with operations in China and globally plans on using the proceeds from the offering to expand its new solar project pipeline and for general working capital.
ReneSola said it expects the offering to close on or around January 11, 2021.
Earlier this week, the company announced that it signed a Memorandum of Understanding with Eiffel Investment Group to establish a joint venture that will provide financing for ReneSola Power's current and future solar projects across Europe.
Josef Kastner, chief executive officer of ReneSola European Region, stated, “Our industry requires efficient and scalable financing models to meet demand. We expect the joint venture to help facilitate the development of our existing pipeline of project opportunities and prospective projects that meet our development criteria."