Ascent Solar Technologies receives $20 million investment from Hong Kong Boone Group Limited

Written By: Stratton Report
February 14, 2017

On February 14, Ascent Solar Technologies, Inc. , a manufacturer of thin-film PV solutions, announced that Hong Kong Boone Group Limited will invest $20 million by purchasing the Ascent’s newly designated Series K convertible preferred stock.

According to the solar firm, shares of the Series K preferred stock, priced at $1,000 per share, will be convertible into restricted common stock of Ascent Solar at a fixed conversion price of $0.004 per share, representing a premium of approximately 74 per cent to the company’s share price at the time of the deal.

Ascent stressed that the financing is expected to occur in steps, with the first transaction on or before Feb 24, 2017, and then in four closings scheduled to occur in March, April, May and June 2017, with a final closing is scheduled to occur in July 2017, when the firm will issue 15,000 additional shares of Series K Preferred Stock in exchange for gross proceeds of $15 million.

Per the solar firm, Hong Kong Boone Group is a multinational industrial group of companies that specializes in industrial control system integration and hydraulic pressure systems and is part of the larger Boone Group, comprised of Guangzhou Boone Industrial Co., Ltd, Guangzhou Boone Electrical Sales Co., Ltd, Aerospace Financing & Leasing (Shenzhen) Co., Ltd, HeGang Boone New Energy Technology Co., Ltd, XingJiang Boone New Energy Technology Co., Ltd, QingHai Boone New Energy Technology Co., Ltd, DeLingHa YaoCheng New Energy Technology Co., Ltd, XiZang Boone New Energy Technology Co., Ltd, and BaoTou Boone New Energy Technology Co. Ltd. Ascent noted that the Boone Group also specializes in the procurement, planning, installation and ongoing maintenance of on-grid solar farm projects in China.

Song Liang, Chairman and founder of Boone Group, commented:

We are extremely delighted to have the opportunity to invest in Ascent Solar and be part of their growth ambitions in the high value specialty PV market. Boone Group has been involved in the renewable energy sector for many years and we are deeply impressed with Ascent’s lightweight and flexible thin-film CIGS technology, in particular their unique manufacturing process with the award winning monolithically-integrated technology.” Mr. Song continued, “China will undoubtedly be the world’s largest solar market but it is now predominantly limited to the installation of the rigid, fragile and heavy crystalline silicon-based panels. I am convinced that Ascent’s unparalleled PV module will have immense potential not only in China but the worldwide market, especially when Ascent can achieve the appropriate economies of scale. We hope to help Ascent achieve the economies of scale which their technology can enable. 

The president and CEO of Ascent Solar, Victor Lee remarked: “We are more than excited to have secured this new investment from a very knowledgeable strategic partner who understands the value and capabilities of our technology. The Boone Group understands that achieving scale is a significant prerequisite to the success of Ascent, and we look forward to their support in aiding in that endeavor. The funding will provide us with ongoing working capital as we continue to focus on the high value specialty PV market. The new investment reinforces our investor’s belief in Ascent’s strategy and the tremendous potential of the Company’s lightweight flexible CIGS solar panel.”