August 6, 2013 - Today, GE and First Solar announced a technology partnership to advance thin-film solar cells and modules. First Solar has acquired GE's global cadmium telluride solar intellectual property portfolio, setting a course for advancement of photovoltaic thin-film solar technology. GE received 1.75 million shares of First Solar common stock as part of this transaction. GE has agreed to retain the shares for at least three years.
The combination of the two companies' complementary technologies and First Solar's existing manufacturing capabilities are expected to accelerate the development of cadmium telluride solar module performance and improve efficiency at manufacturing scale. In addition, GE Global Research and First Solar R&D will collaborate on future technology development to further advance CdTe solar technology.
GE will enhance its presence in solar through access to purchasing and branding First Solar's modules for future global GE deployments, in addition to its investment in inverters, controls, balance of plant and ownership of utility scale systems.
Additionally, GE and First Solar have formed a commercial relationship around solar inverter technology. First Solar will continue to purchase inverters from GE Energy Management for use in First Solar's global solar deployments to optimize electrical balance of plant. By combining complementary technologies, the collaboration is expected to lead to an improvement in solar grid integration.
"We are creating an exciting synergy with this deal," said Jim Hughes, First Solar's Chief Executive Officer. "The addition of GE's PV thin film technology and R&D resources will advance our technology roadmap, while realizing cost reduction in our manufacturing process."
"To lead in today's solar industry, you must have the most competitive technology at the most competitive cost position," said Anne McEntee, president and CEO of GE's renewable energy business. "We're excited to partner with First Solar to accelerate innovation and bring our complementary technology and R&D to market faster through its manufacturing capabilities."
First Solar's existing manufacturing sites will be used to further advance CdTe technology and achieve a competitive cost position. GE has decided to discontinue the build-out of its Aurora, Colorado, solar manufacturing facility.
The transaction has closed. King & Spalding LLP and Arnold & Porter LLP represented GE on the transaction, and Cravath, Swaine & Moore LLP represented First Solar.