ROSEVILLE, Calif.—September 23, 2014 - SPI Solar ("SPI") (SOPW:OTCBB), a vertically-integrated photovoltaic solar developer, today announced that it has entered into a definitive purchase agreement for the sale of $48.25 million of common stock in a private placement. The company intends to use the net proceeds from the sale of the shares for expansion of SPI's global PV project activities, continued investment in ramping its YES!® Solar solution for the residential and small business segments and for working capital purposes.
"We continue to see attractive opportunities for SPI worldwide, and it's reassuring to see that our investors also recognize those opportunities," said Xiaofeng Peng, Chairman of SPI. "We believe this capital raise -- along with the previous two recently completed rounds -- will provide the company with additional go-to-market operational and financial flexibility to further strengthen our global utility-scale PV project business and YES! Solar business lines."
Under the terms of the purchase agreement executed on September 22, 2014, SPI has agreed to sell an aggregate 41,240,000 shares of common stock at a price of $1.17 per share. Additionally, the lead investor will have an option to purchase from the company 17,200,000 shares of common stock at the total purchase price of US $20,125,000 on or prior to November 21, 2014. The shares are being offered and sold solely to non-.U.S. investors on a private placement basis.
The purchase agreement contains customary representations and warranties and covenants of SPI Solar and is subject to the satisfaction of customary closing conditions. SPI Solar anticipates that the sale of the shares will close within 40 days of the date of the agreement, subject to the satisfaction or waiver of the closing conditions. The shares of common stock are restricted securities, and purchasers are also subject to a lock-up provision, which prevents any transfer, sale or disposition of shares purchased prior to a date that is three months after the closing date.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction.
About Solar Power, Inc. (SOPW:OTCBB):
SPI Solar ("SPI") (Solar Power, Inc.) is a vertically-integrated photovoltaic solar developer offering its own brand of high-quality, low-cost distributed generation and utility-scale solar energy facility development services. From project development, to project financing and to post-construction asset management, SPI delivers turnkey world-class photovoltaic solar energy facilities and turnkey residential solar solutions to its business, government and utility customers. For additional information visit: www.spisolar.com.
Safe Harbor Statement:
This release contains certain "forward-looking statements" relating to the consummation of the private placement, the use of proceeds, and business of SPI Solar, its subsidiaries and the solar industry, which can be identified by the use of forward-looking terminology such as "believes", "expects" or similar expressions. All forward-looking statements are expressly qualified in their entirety by this cautionary statement and the risks and other factors detailed in the company's reports filed with the Securities and Exchange Commission. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities law.
Amy Liu, Solar Power, Inc. (800) 548-8767