Key Highlights
- Shares of SUNation Energy (SUNE) rallied approximately 26% following Suniva’s successful completion of an $835 million funding round
- The capital will finance construction of a 4.5 GW solar cell production facility in Laurens County, South Carolina
- Construction of the approximately $600M facility is projected to finish by late 2027, reaching maximum output in 2028
- Major institutional investors participating in the raise include Goldman Sachs, Lion Point Capital, I Squared Capital, among others
- When operational, the South Carolina plant will expand Suniva’s combined U.S. solar cell production capacity to 5.5 GW
SUNation Energy (SUNE) shares jumped approximately 26% during Wednesday’s premarket session, reaching $2.98, following news that merger partner Suniva successfully completed an $835 million capital raise.
The substantial funding will support a significant expansion of domestic solar cell production capabilities, anchored by a new manufacturing facility in South Carolina.
Suniva secured the capital through a combination of debt and equity financing. Key investors in the round include Lion Point Capital, Goldman Sachs Alternatives, I Squared Capital, JBA Asset Management, Electron Capital Partners, Orion Infrastructure Capital, and Rubric Capital Management.
The capital structure comprises senior secured credit facilities, a second lien credit facility, and direct equity participation from investors.
South Carolina Manufacturing Hub
Suniva plans to construct the new production facility in Laurens County, South Carolina. The plant will manufacture 4.5 GW of high-efficiency monocrystalline silicon solar cells annually.
Total project costs are estimated at approximately $600 million. The building’s 621,468-square-foot shell has already been completed.
Construction is scheduled to wrap up in late 2027, with the facility achieving full production capacity in 2028. The project is anticipated to generate 564 high-skill manufacturing positions.
The new South Carolina facility represents more than a quadrupling of Suniva’s existing production capabilities.
Suniva presently operates a 1 GW solar cell manufacturing plant in Norcross, Georgia. This facility is currently at full operational capacity, producing monocrystalline silicon solar cells.
When the South Carolina facility becomes operational, Suniva will command a combined 5.5 GW of solar cell manufacturing capacity across the United States.
Pending SUNation Energy Merger
The financing announcement arrives as Suniva progresses toward completing a reverse merger transaction with SUNation Energy.
Suniva unveiled the definitive reverse merger agreement on June 8. The transaction structure calls for Suniva to merge with a wholly owned subsidiary of SUNation.
Following completion, the merged entity will operate under the Suniva brand. The company will maintain SUNation’s existing listing on the Nasdaq Capital Market using the SUNE ticker symbol.
Suniva CEO Tony Etnyre emphasized that the capacity expansion addresses growing market demand for American-made solar cells. He noted that the company has already secured long-term offtake agreements covering the majority of anticipated production volume.
According to Suniva, the company has built a robust domestic supply chain infrastructure to support this expansion, positioning it uniquely among U.S.-based solar cell manufacturers.
SUNE stock gained 25.74% in premarket trading Wednesday, trading at $2.98, based on data from Benzinga Pro.
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