Canadian Solar secures $100m credit from EDC


China’s Tier-1 solar company Canadian Solar has announced today that it has signed a US$100 million financing agreement with Export Development Canada (EDC) that will enable the company to further its global activities of project development.

The agreement sees EDC agree to provide guarantees or letters of credit to the total of $100 million, with Royal Bank of Canada and Toronto Branch of China Construction Bank Corporation serving as fronting banks on the facility, Canadian Solar said in a statement.

According to Canadian Solar CEO Shawn Qu, the backing offered by EDC will enable the solar company to improve its financial flexibility on capital allocation for new solar projects.

Ahead of China’s second half solar slowdown, Canadian Solar has enjoyed a strong 2016, beating shipment and revenue guidance in the second quarter, and increasing its downstream pipeline to 20 GW as the firm continues its transition towards becoming a global leader in solar power project development.