China WindPower to Get $942 Million in Loans for Solar Farms

Jan 06, 2014 1:25 am ET

Jan. 6 (Bloomberg) -- China WindPower Group Ltd., an operator of renewable-energy projects with a market value of HK$5.62 billion ($725 million), said it will get as much as 5.7 billion yuan ($942 million) in loans from the China Development Bank Corp.’s Qinghai Branch for solar farms.

The funds will be invested in more than 800 megawatts of solar projects this year and next, China WindPower said in a statement distributed by PR Newswire yesterday.

China WindPower “will gradually push forward our solar power generation business to become our core business and major profit contributor to the group,” Chief Executive Officer Yang Zhifeng said in the statement.

The Hong Kong-listed company, which mainly develops wind farms, operates 150 megawatts of solar projects, it said last month. The company’s shares have almost doubled since Nov. 21, rising from HK$0.355 to HK$0.69 as of 2:12 p.m. Hong Kong time.

The company said on Jan. 2 that it expects a “significant increase” in 2013 profit after boosting output from wind and solar farms. China WindPower, expected to report earnings in March, posted HK$40.4 million of profit in 2012.

--Feifei Shen. Editors: Iain Wilson, Jason Rogers