Trina Solar announced that it has entered into a transaction agreement with FREYR Battery. The deal includes a 5GW module manufacturing plant in Wilmer, Texas, and is expected to be completed by the end of the year.
Trina Solar and FREYR will launch a multi-phase strategic collaboration following the deal. And the modules produced by FREYR will continue to carry the Trina Solar brand and be jointly marketed to ensure a stable supply of locally manufactured products in the US. Plus, the two companies will collaborate on technology, operations, and sales. Trina Solar will appoint board members, a chief operating officer, and a chief strategy officer to be involved in FREYR’s operations.
The collaboration, which utilizes technology know-how, market channels, industry expertise, and government relations of both parties, will increase Trina Ssolar’s brand presence in the U.S. and improve supply chain resilience. Trina Solar will also continue to serve the U.S. market with industry-leading smart PV and energy storage solutions, technology, and manufacturing expertise.
Since entering the U.S. in 2006, Trina Solar established a strong presence, global supply chain, state-of-the-art technology and a solid track record in module deliveries and project execution for U.S. customers. And last year, Trina Solar ranked first among non-U.S. companies in module shipments, and its Vertex N and Vertex S+ series modules were named among the Top Solar Panel Products in the U.S. for 2022.
Once the deal is completed, Trina Solar will receive $100 million in cash, $150 million in preferred notes, and a 19.08% equity stake in FREYR, acquired in two phases. In the first phase, Trina Solar will buy 9.9% equity in FREYR and the second phase — pending regulatory approvals — will provide an additional 30,440,113 shares, bringing Trina Solar’s total equity interest to 19.08%.
If these necessary approvals are not secured, Trina Solar will receive about $80 million in preferred notes from FREYR as compensation.
