Jiangxi Jinko Announces Proposed Issuance Of Convertible Bonds By Saur News Bureau/ Updated On Mon, Aug 1st, 2022 Jinko Solar Holding Co. Ltd., among the largest solar module manufacturers globally, has revealed that Jinko Solar Co., Ltd., its principal operating subsidiary, is looking to issue convertible bonds in the principal amount of up to RMB10 billion. To be listed on the Shanghai Stock Exchange’s Sci-Tech Innovation Board, the Convertible Bonds will have a term of six years. They can also be converted to Jiangxi Jinko’s ordinary shares. The net proceeds that come from the Convertible Bond Issuance will be used for two purposes, viz. the establishment of several solar cell and module production related projects by Jiangxi Jinko, and the working capital for Jiangxi Jinko. At present, the company owns close to 58.62% equity interest in Jiangxi Jinko. It also has special preemptive rights to subscribe for a portion of the Convertible Bonds. The bond issuance comes at a time when major China based manufacturers are all in the middle of massive expansion plans, to take advantage of growing demand both domestically as well as globally. Jiangxi Jinko itself has announced plans to expand capacities. These include plans to add 30 GW of monocrystalline silicon pull rod production capacity in Xining city of Qinghai province in China It also entered agreements to establish 24 GW of high efficiency solar module capacity in Shangrao city of Jiangxi province The company will also invest in adding 100,000 tons of PV module aluminum frames in Shangrao. Jinko Solar itself also recently kicked off work on the expansion of its capacities significantly. As of March 31, 2022, the Company’s annual mono wafer, solar cell and solar module production capacity was 40.0 GW, 40.0 GW (16.9 GW for N-type cells) and 50.0 GW, respectively. Tags: Convertible Bonds, Jiangxi Jinko, JinkoSolar, RMB10 billion, Shanghai Stock Exchange, Shares, working capital