ReneSola Ltd [NYSE: SOL] disclosed today it has decided to acquire certain assets worth 8 million in an all-stock transaction. It has entered into an agreement to buy certain assets including solar projects and accounts receiveable with an undisclosed US-based developer.
The latest agreement also adds the experienced solar project development team to strengthen the position of ReneSola. The decision to acquire solar projects is highly compatible with the existing business of the company.
ReneSola’s shares soared 12.12%, or up +0.24 during the trading of Monday. It has earlier opened at $2.07 and has a closing price of 2.22.
SOL has a day low and high range of $2.04-$2.35, respectively. Its trading volume is 1.03 million as compared to its average volume of 127.01K.
If we look at its profitability, its return on assets (ROA), return on equity (ROE), and return on investment (ROI) is -2.30%, -8.40%, and -1.10%, respectively.
Its Gross Margin is 27.70%, Profit Margin is -6.20%, and an Operating Margin is 0.10%. Looking at its liquidity, its current ratio is 0.90.
During the past 52-weeks of trading, this company has a day low and high range of $0.85-$2.09, respectively. SOL has increased 6.22% from its 52-weeks high and moved up 160.20% from its 52-weeks low.
The new agreement of SOL with undisclosed US-based developers is anticipated to close by the end of the third quarter. After completion, this project boosts up the development pipeline of ReneSola by approximately 200 MW.
This project also provides ReneSola Power with access to utility projects and development activities in a number of states, including Pennsylvania, California, New York, Maine, Illinois, and Arizona.