Chinese solar panel maker Yingli Green Energy Holding Co Ltd said on Wednesday it is opening two U.S. regional headquarters in New York and San Francisco, marking the company's latest bid to expand its business in North America.
The company's shares rose more than 8 percent following the announcement, boosted by a broader market rally after Intel Corp's earnings report trumped expectations.
Yingli, which is based in Baoding, China, said it created a wholly-owned subsidiary, Yingli Green Energy Americas Inc, or Yingli Americas. Leading the unit will be Robert Petrina, who joined Yingli two years ago and previously worked in General Electric Co's solar division.
Given the vast potential and rapid growth of the U.S. solar market, it is imperative for us to have a strong presence on both coasts of the country, Liansheng Miao, the company's chief executive, said in a statement.
The addition of two U.S. offices comes as Yingli and other Chinese manufacturers including Suntech Power Holdings Co Ltd have been making inroads into the growing U.S. market for solar power. As part of that effort, Yingli earlier this year struck a supply deal with solar developer AES Solar, a joint venture between power producer AES Corp and private equity firm Riverstone Holdings LLC.
Yingli said its office in Manhattan will focus on the financial sector, targeting renewable investments. In San Francisco, its office will focus on procurement, installation and operation stages of solar modules.
The solar industry has been hit hard since the end of last year by a lack of available financing for big projects and an oversupply of solar panels that has sent prices into a freefall.
In June, however, the Chinese solar panel maker said it saw a substantial increase in demand, partly because of progress in government solar incentives in the United States and China, and set an offering of 15.5 million common shares.
Yingli shares were up 83 cents, or 8.2 percent, at $11 in early afternoon trade on the New York Stock Exchange.