Tongwei to acquire Runergy

Tongwei has presented a CNY 5 billion (US$ 698.9 million) offer to acquire Chinese solar module maker Runergy. 

Tongwei, a vertically integrated solar manufacturer in China, has entered into a "capital increase intention agreement" with Runergy, a Chinese module producer, its main shareholders, and the state-owned investment management firm Jiangsu Yueda Group. The agreement details a multi-step acquisition process, beginning with Jiangsu Yueda injecting CNY 1 billion (US$139.7 million) into Runergy. Tongwei will then carry out due diligence, auditing, and valuation before finalizing the capital increase, signaling its acquisition of the company. The plan entails using either self-raised or borrowed funds to invest in Runergy and buy the shares acquired by Jiangsu Yueda, to secure at least 51% of Runergy's equity.