General Electric (GE), US-based conglomerate, and First Solar, US-based provider of photovoltaic (PV) solar systems, have formed a technology partnership to advance the development and manufacture of thin-film solar cells and modules. Under the terms of the transaction, First Solar has acquired GE’s global cadmium telluride (CdTe) solar intellectual property portfolio, while GE has received 1.75 million shares of First Solar common stock, agreeing to retain the shares for at least three years.
The combination of the two companies’ technologies and First Solar’s existing manufacturing capabilities are expected to accelerate the development of cadmium telluride (CdTe) solar module performance and improve efficiency at manufacturing scale. In addition, GE Global Research and First Solar R&D will collaborate on future technology development to further advance CdTe solar technology.
GE will be able to purchase and brand First Solar’s modules for future global GE deployments. Additionally, GE and First Solar have formed a commercial relationship around solar inverter technology.
Jim Hughes, First Solar’s chief executive officer (CEO), said: “We are creating an exciting synergy with this deal. The addition of GE’s PV thin film technology and R&D resources will advance our technology roadmap, while realizing cost reduction in our manufacturing process.”
Anne McEntee, president and CEO of GE’s renewable energy business, said: “To lead in today’s solar industry, you must have the most competitive technology at the most competitive cost position. We’re excited to partner with First Solar to accelerate innovation and bring our complementary technology and R&D to market faster through its manufacturing capabilities.”
King & Spalding and Arnold & Porter represented GE on the transaction, and Cravath, Swaine & Moore represented First Solar.