Ersol Plans to Sell New Shares to Fund Silicon Supply Agreement

Ersol Solar Energy AG, a German solar cell maker, plans to issue new shares to help it make advance payments for long-term silicon contracts.

Ersol intends to issue as many as 923,524 new shares, the Erfurt-based company said today in an e-mailed statement. The stock will be offered to existing shareholders from July 2 to July 17 and the final subscription price will be set July 12, the company said.

Ersol signed an agreement with Hemlock Semiconductor Corp. to buy silicon from 2010 to 2020, the company said in a separate statement. Ersol will make a down payment of at least 10 million euros ($13 million) for the silicon.

Source : Bloomberg