Satcon Selected For 76 MW Plant In Caribbean
Shares of Satcon Technology Corporation (SATC: NASDAQ) received a much-needed jolt today as the Boston-based power inverter manufacturer was selected by GCL Solar Energy to supply inverters, subcombiners, and voltage transformers for a 76 megawatt (MW) project in the Caribbean.
Satcon will supply forty-five of their Equinox 500 kilowatt (kW) inverters, over 1900 Satcon Solstice Subcombiners, 680 SSC Smart Subcombiners, and 64 medium voltage transformers.
Working with GCL Solar Energy should help the beleaguered shares of Satcon as the former is aggressively pursuing projects in the Americas.
In February, GCL Solar Energy inked a deal with NRG Solar (NRG :NYSE) to form a 50/50 joint venture entitled Sonora. GCL Solar Energy will supply the photovoltaics for projects NRG Solar is developing. The two companies had been successfully working together before the joint venture as GCL Solar Energy had supplied 70 MW of photovoltaics to NRG Solar since the 4th quarter of 2011.
But the Sonora joint venture isn’t a guaranteed access to NRG Solar’s seemingly robust pipeline. In March NRG Solar selected to First Solar to build their 26 megawatt Avra Valley solar project near Tucson, Ariz.
Regardless, Satcon needs to expand its revenue streams. Facing a 87 percent drop in its share price over the past year, Satcon needs to work with more aggressive solar manufacturers like GCL Solar Energy if they are to boost their sagging share price over the $1 minimum set by Nasdaq.
Shares of Satcon were up 1.02 percent in afternoon trading.