16 November, 2020
Press Releases - Regulatory

Advanced Soltech signs order in China, which generates apx. SEK 108.2 million during the contract period

Advanced Soltech's subsidiary in China, ASRE, has signed an order with ZheJiang SenKai New Material Co. Ltd. The order concerns the installation of a solar energy plant of 8 megawatts (MW) and is estimated to generate annual revenues of approximately SEK 5.41 million, or approximately SEK 108.2 million during the agreement's 20-year term. The investment in the facility, which will be owned by ASRE, amounts to approximately SEK 44.8 million and construction is scheduled to start in the fourth quarter of 2020. 

Advanced Soltechs VD Max Metelius comments:

  • It is a great pleasure to be able to present projects in this size. Advanced Soltech has a well diversified portfolio with customers in many different industries located in different geographies.

About the China venture

in China ASAB operates through, its wholly owned local subsidiaries Advanced Soltech Renewable Energy (Hangzhou) Co. Ltd, ASRE and Longrui Solar Energy (Suqian) Co. Ltd. The business model consists of financing, installing, owning, and managing solar energy installations on customers' roofs in China. The customer does not pay for the plant, but instead undertakes to buy the electricity that the plant produces under a 20-year agreement. Current income comes from the sale of electricity to customers and from subsidies. The goal is to have an installed capacity of 1,000 megawatts (MW) by 2023, which is fully connected to the electricity grid by 2024. 

ASAB is 50.85 % owned by Soltech Energy Sweden AB (publ), 48.85% by Soltech's Chinese partner, Advanced Solar Power Hangzhou Inc and 0.3% by several holders of preference shares.