On November 28, Jinko Technology issued an announcement stating that, in order to further promote the globalization strategy and accelerate the development of overseas business, Jinko Power (HK) Company Limited (hereinafter referred to as “Jinko Hong Kong”), a wholly-owned subsidiary of Jinko Technology, will be launched in 2020. On November 27, the “Share and Debt Sale Agreement” was signed with Jinko Solar Sweihan (HK) Limited (hereinafter referred to as “Sweihan Hong Kong”). Jinko Hong Kong intends to acquire Sweihan Solar Holding held by Sweihan Hong Kong at a consideration of USD 22.28 million CompanyLimited (hereinafter referred to as “Sweihan Holdings”) 50% equity.
Sweihan Holdings holds a 40% stake in Sweihan PV Power Company PJSC (hereinafter referred to as the “Project Company”), the operating platform company of Abu Dhabi 1.2GW photovoltaic power plant (hereinafter referred to as “Abu Dhabi Photovoltaic Power Plant”). After the completion of the acquisition, Jinko Technology will eventually hold a 20% stake in the Abu Dhabi Photovoltaic Power Plant Project Company.
Sweihan Holdings is a joint venture company jointly established by JinkoSolar and Japan Marubeni Co., Ltd. to invest in the development of photovoltaic power plants in Abu Dhabi. JinkoSolar and Japan Marubeni Co., Ltd. each indirectly hold 50% of Sweihan Holdings. The subject of this acquisition It is a 50% stake in Sweihan Holdings indirectly held by JinkoSolar. Sweihan Holdings holds a 40% stake in the Abu Dhabi Photovoltaic Power Plant Project Company.
The Abu Dhabi Photovoltaic Power Station is the largest single-scale photovoltaic power generation project that has been built in the world. In addition to the Abu Dhabi photovoltaic power station, Jinko Technology also holds a 20% stake in the 2.1GW UAE photovoltaic power generation project under construction. After the completion of this acquisition, Jinko Technology will simultaneously own 20% of each of the two largest photovoltaic power generation projects in the world, which has important strategic significance for the company to enhance its brand influence in the overseas photovoltaic market and develop overseas business.
In addition, Jinko Technology stated that Sweihan Hong Kong is a wholly-owned subsidiary of JinkoSolar, JinkoSolar and JinkoSolar are controlled by the same actual controller, and Sweihan Hong Kong is the company’s related legal person. This transaction constitutes a connected transaction, but does not constitute a major asset reorganization as stipulated in the Measures for the Administration of Major Asset Reorganizations of Listed Companies.