Ascent Solar Reaches Significant Milestone for Its Proposed Joint Venture

June 25, 2014

Ascent Solar Technologies, a manufacturer of state-of-the-art, flexible thin-film photovoltaic modules integrated into off-grid applications and the company’s EnerPlex™ series of consumer products, announced today the achievement of a significant milestone related to the Definitive Agreement signed in December of 2013 with the Government of the Municipal City of Suqian in Jiangsu Province, China ("Suqian").

As previously announced under the Definitive Agreement, Suqian will build a facility to manufacture Ascent's proprietary Copper-Indium-Gallium-Selenium (CIGS) photovoltaic modules on flexible thin films. Ascent and Suqian will also form a joint venture entity (JV) in which Ascent’s share will grow progressively up to 80% based on an ascribed value of Ascent’s contributions to the JV.

Under the terms of the Definitive Agreement, in phase 1 and phase 2 of the project, Ascent is required to contribute to the JV manufacturing equipment, intellectual property assets, proprietary technology and know-how, and cash for its ownership share, and Suqian is required to contribute cash for its ownership share. Pursuant to the terms of the Definitive Agreement, Ascent’s total contribution for phase 1 and phase 2 is required to be RMB 800 million (approximately $129 million). Suqian’s total contribution for phase 1 and phase 2 is required to be RMB 200 million (approximately $32 million).

Copyright, Global Energy World, 2014.