Sunray Solar and Sun Power Combine in $277 Million Deal

The world solar energy industry looks even brighter following the purchase of  Sunray Renewable Energy by the American solar energy giant Sun Power Corporation and solar array manufacturer in a $277 million deal reported in The Marker.

SunRay, headed by Israeli CEO Yoram Amiga, was the first foreign solar energy company allowed to do business in Israel, after Israel’s local solar energy market was opened to outside companies in 2009. Prior to SunRay’s entrance, Israel’s solar energy market had been confined to local companies; some of which, such as Solel Solar Systems, were themselves bought up by foreign companies like Siemens , which wound up purchasing Solel for an even larger sum than the SunRay/Sun Power deal – $418 million USD.

The world solar energy market seems to be getting hotter, now that big solar energy and industrial companies like Siemens and Sun Power are looking to consolidate their share in the increasingly expanding solar energy market.

SunPower, a leader in the solar panel manufacturing industry is very interested in expanding its operations in the Mediterranean region, which may explain why it wanted to acquire SunRay; which is headquartered in Malta and has solar fields already established in Greece, France, Israel, Italy, Malta, Spain, and in the U.K.

A SunPower Private Solar Panel Installation

SunRay’s Israel operations are largely handled through their local subsidiary SunRay Israel Blue White, which is working on projects for fields of solar photovoltaic panels in the Negev.  SunRay has entered into contracts with several kibbutz cooperative settlements to build solar power farms; and has submitted plans to erect solar panel arrays at Kibbutz Urim in the northern Negev region.

This puts SunRay in direct competition with Israeli companies like Arava Power, which has signed deals to erect solar panel arrays in 15 kibbutz and agricultural settlements.

Arava Power is now partnered with Siemens, which purchased a 40% stake in Arava Power, via Siemen’s investment company, Siemens Project Ventures. The solar power investment world is getting complex!

It appears that interest in solar energy is picking up following a number of setbacks in 2009, including the world economic recession and countries like Germany reducing government subsidies paid to solar energy companies that sell their electricity to the government electricity grid.

But the sun seems to be shining brighter on Sun Power’s solar energy ventures; and according to the Marker article, will now have photovoltaic projects in Europe totaling more than 1,200 megawatts.

Israel’s solar energy future is also looking much brighter, thanks to the decision by the Israeli government to set new quotas for smaller solar energy installations (up to 50 kilowatts), and for home solar energy systems up to 4 kilowatts to be allowed without restrictions until the end of 2014.

Since SunPower is one of the major solar panel suppliers in Israel, its solar energy future in Israel, via SunRay Israel Blue White, also looks bright.

Other Solar Energy Articles of Interest:

Siemens Buys Israel’s Solel Solar for $418 Million

Arava Power to Electrify the Negev Desert With 15 Solar Energy Deals

Every Day is Like Sunday with Sunday Solar Energy

Author: Maurice Picow

Maurice Picow grew up in Oklahoma City, U.S.A., where he received a B.S. Degree in Business Administration. Following graduation, Maurice embarked on a career as a real estate broker before making the decision to move to Israel. After arriving in Israel, he came involved in the insurance agency business and later in the moving and international relocation fields. Maurice became interested in writing news and commentary articles in the late 1990’s, and now writes feature articles for the The Jerusalem Post as well as being a regular contributor to Green Prophet. He has also written a non-fiction study on Islam, a two volume adventure novel, and is completing a romance novel about a forbidden love affair. Writing topics of particular interest for Green Prophet are those dealing with global warming and climate change, as well as clean technology - particularly electric cars.