Thursday, February 11, 2010

SunPower acquires SunRay Renewable Energy for $277 million

SunPower, Silicon Valley's biggest solar panel manufacturer, announced Thursday an agreement to buy SunRay Renewable Energy, a developer of solar power plants in Europe and Israel, for $277 million.

Although based in Malta, SunRay is managed by Israelis, including CEO Yoram Amiga and Michael Barnea, Head of Legal and M&A. SunRay established a wholly-owned Israeli subsidiary, SunRay Israel Blue & White, which is working to develop 100MW of solar photovoltaic projects.

Kobi Katz, the CEO of SunRay Israel, told The Marker the sale was a vote of confidence by SunPower in the Israeli solar market.

SunRay currently has 1,200 megawatts of generating plants in development in Italy, France, Israel, Spain, the United Kingdom and Greece. SunRay is owned by its management and U.S.-based Denham Capital, which bought control of the firm for $200 million in 2007.

SunPower and SunRay originally joined forces on Montalto, the largest power plant in Italy. "Our experience working with SunPower on Montalto and several other power plants in Italy convinced us that SunRay will be joining the global solar technology, performance and quality leader for solar power plants," said Yoram Amiga, CEO of SunRay Group, in a statement.