BNEF adds voice to questions about Hanergy's value

BNEF has produced a six-page report in which it questions the value underpinning Hanergy TF’s stellar stock performance. BNEF says that it has been, “unable to find a detailed list of solar power projects that would help explain why the company’s shares have risen fivefold in the past year.”

In a second blow to Hanergy, BNEF also describes the company’s suite of thin film technologies as being “unproven in large-scale commercial production.” Hanergy’s PV technology, large amorphous silicon variants and different stains for CIGS, has also not been deployed at volume in China.

Hanergy has acquired a number of failed CIGS producers including MiaSolé and Global Solar from the U.S. and German/Swedish operation Solibro. It has been developing amorphous technology with its former tool supplier Apollo since its entry into the thin film solar segment 2009.

BNEF notes that Hanergy is the world’s largest solar company by market value, surpassing non-solar stocks Sony Corp. and Twitter Inc.

BNEF’s Jenny Chase said that Hanergy TF has disclosed some projects under China’s Golden Sun program, “but a comprehensive list of Hanergy’s pipeline is not available.” BNEF has asked Hanergy for more details.

Solar mobility

Hanergy has proven astute at catching headlines, with partnerships with Aston Martin motor racing to promote its technology. BNEF notes though that Hanergy’s plan to develop a solar-powered car is “quite ambitious.” Hanergy TF hopes to develop a car able to drive 80 kilometers to 100 kilometers (50 miles to 62 miles) after charging for four hours.

BNEF reports that even with PV cells with 20% efficiency, the cars would have to be highly unconventional vehicles to pull off such performance.

“Presumably, the cars will be super-lightweight single-person vehicles rather than direct replacements for existing models,” said Chase.

BNEF noted the criticisms Hanergy TF has attracted from analysts at CLSA and the negative coverage that the Financial Times has run regarding Hanergy’s accounting practices and its accessing of high cost finance.

Somes CIGS details

Hanergy TF has recently revealed some detail into its recent Master Supply agreement. Last Friday Hanergy TF concluded an agreement to supply 70 MW of flexible CIGS modules each year until 2017, presumably using either its acquired Global Solar or MiaSolé technology, to Hanergy Group.