On April 2, Trina Solar announced that its wholly-owned subsidiary, Trina Technology, plans to establish a joint venture company with Zhejiang Yuance Enterprise Management Consulting Co., Ltd. The registered capital of the joint venture is proposed to be no more than RMB 150 million. Of this, Trina Technology intends to contribute up to RMB 90 million from its own funds, accounting for 60% of the joint venture’s registered capital.
The establishment of the joint venture by Trina Solar’s wholly-owned subsidiary, together with a related party, is based on the company’s future strategic development plan. It focuses on investing in new technologies and intellectual property for the next-generation smart energy systems. By actively laying out cutting-edge technologies, the company aims to support its long-term development. This move is also necessary to further optimize assets and enhance the company’s overall competitive strength.
Given the long layout cycle for new technologies, the company, after careful consideration, plans to collaborate with related parties in the investment and development field to advance investment matters. Through collaborative investment, the two parties can effectively share risks, reducing potential investment losses that a single entity might bear. Additionally, the related party can leverage its professional expertise in the investment field to introduce diversified capital into the project, optimize the investment structure, assist in formulating a scientific and reasonable development plan, and promote the company’s sustained and steady development.
As of the disclosure date of this verification opinion, the joint venture has not yet been established, and related business operations have not yet commenced. In the actual layout process of the future ecological chain, the joint venture may face uncertainties from factors such as the economic environment, industry policies, changes in market demand, operation and management, and technology research and development. There are certain risks involved, including technical risks, market risks, operational risks, and the risk of future project progress falling short of expectations.
