Yingli Gets $324 Million From China Development Bank
Stock Chart for Yingli Green Energy Holding Co Ltd (YGE)
Yingli Green Energy Holding Co. (YGE), a Chinese solar-module maker, has a “framework agreement” for $324 million of China Development Bank funding for a so-called trade platform in Hong Kong used to import raw materials.
The state-run lender will provide 150 million yuan ($24 million) and $300 million, Yingli said in an e-mailed statement yesterday.
The platform will help Yingli reduce foreign-exchange and financing costs, it said. Yingli bought about 17 percent of raw materials through Hong Kong in 2011 and the proportion will probably surge to 40 percent this year, the company said.
China Development Bank has offered at least $47 billion in credit lines to help China’s solar- and wind-energy companies since 2010. The support drew complaints from U.S. producers led by Solarworld AG that have sought duties on Chinese companies accused of using cheap funds from state lenders to sell solar panels on Western markets below the cost of production.
“It’s just a framework agreement,” Miao Qing, director of investor relations at Yingli, said in a telephone interview. “Yingli borrowed little from a $5.6 billion credit-line deal signed in 2010.”
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