SunPower buys PowerLight, creates solar giant

November 16, 2006 | Matt Marshall

Solar panel maker SunPower has agreed to acquire solar intaller PowerLight for about $332.5 million, creating a solar giant.

The purchase will bolster the wave of investments in solar; it proves there’s a way to make profits. PowerLight had received about $20 million in backing from investors, including Bay Area Equity Fund and New Energies AG.

They are the two largest solar players in the valley, and complement each others business. SunPower, of San Jose, makes efficient panels, but needs to distribute them to installer-contractors. Berkeley’s PowerLight, a leading installer, will help grease that process. See Merc story by Sarah Tribble.

The deal includes $265 million immediately, and the $67.5 million balance to be paid in two to four years.

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About the Author, Matt Marshall

Matt launched VentureBeat in September of 2006, with the realization that no one else was covering the entrepreneurial and tech innovation scene with the velocity or depth that he was. Prior to founding VentureBeat, he covered venture capital for the San Jose Mercury News from 2001 to 2006. In 2002, Matt was awarded "Journalist of the Year" by the Northern California Society of Professional Journalists. Prior to working at the Merc, he was a correspondent for the Wall Street Journal in Bonn, Germany from 1995 to 1998, and a writer for the Washington Post in 1994. Matt holds a PhD in Government and an MA in German and European Studies from Georgetown University. In addition to VentureBeat, Matt is also the Executive Producer of DEMO, the leading launchpad event for emerging technologies.