Thursday, March 13, 2008

Suntech Power prices $500 million in convertible debt

March 12, 2008: 08:35 AM EST

NEW YORK, Mar. 12, 2008 (Thomson Financial delivered by Newstex) -- Suntech Power Holdings Co. (NYSE:STP) said it priced a private offering of $500 million worth of convertible debt, due 2013.

The initial conversion rate is 24.3153 American Depositary Shares per $1,000 principal amount, representing a price of $41.13 per ADS.

The China-based solar power (OTCBB:SOPW) cells maker said it also granted the initial buyers of the debt options to buy an additional $75 million of the notes to cover over-allotments.

The company plans to use about $300 million of the proceeds for procuring upstream supplies and for capacity expansion.

On March 10, the company said planned to offer $425 million of convertible debt in a private offering, with an additional $75 million to cover over-allotments.

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