Tuesday, July 8, 2008

Evergreen Solar finds $90M opportunity

By Mass High Tech Staff

Two weeks after raising $300 million through the sale of convertible notes, Devens solar panel manufacturer Evergreen Solar Inc. will raise another $90 million through the redemption of subordinated notes due through 2012.

Under terms of the conversion, Evergreen (Nasdaq: ESLR) will redeem in full its 4.375 percent convertible subordinated notes due 2012 on July 22, 2008. Alternately, prior to the redemption date, note holders may convert their shares at a price of $7.39 per share. The last reported sale price of the Evergreen Solar common stock on July 7, 2008 was $9.27 per share.

Last month, Evergreen Solar announced two new long-term contracts for the production of solar panels, bringing its backlog of orders to $1.7 billion over the next four years.

However, despite the company’s sales, its stock price has declined more than 40 percent over the past six months.

In 2007, the company reported a net loss of $16.6 million on revenue of $69.9 million.