Concord New Energy Group Announces US\$56.61 Million Energy Storage Equipment Purchase for Major US Project

Key Transaction Details

• Transaction Overview: Concord New Energy Group Limited has announced a significant purchase of energy storage equipment valued at approximately US\$56.61 million. This transaction is considered a discloseable transaction under Chapter 14 of the Hong Kong Listing Rules, as the highest applicable percentage ratio exceeds 5% but remains below 25%.
• Parties Involved:
  • Purchaser: Blue Heron Solar, LLC, a wholly-owned subsidiary of Concord New Energy Group, based in Delaware, USA.
  • Supplier: Trina Energy Storage Solutions US Inc (Trina Storage), ultimately owned by Trina Solar Co., Ltd., a listed company on the Shanghai Stock Exchange (stock code: 688599).
• Date of Agreements: The Purchase Contract was signed on 13 February 2026, and the Purchase Order was issued after trading hours on 20 February 2026.
• Asset to be Acquired: The deal covers the acquisition of energy storage batteries, associated parts, and related services (testing, commissioning, delivery, and warranty), to be used in a new large-scale US-based energy storage project.
• Project: The equipment will be deployed in a 146 MW/292 MWh energy storage project in the USA, being developed by Concord New Energy Group.

Payment Terms and Financial Details

• Total Consideration: US\$56.61 million, which includes a purchase price of approximately US\$43.22 million and tariffs of about US\$13.39 million.
• Payment Structure: The payment is structured in several installments:
  1. 10% advance payment (US\$4.32 million) within 10 days of the purchase order.
  2. 10% upon owner approval (US\$4.32 million) within 30 days of approval.
  3. 20% after manufacturing completion tests (US\$8.65 million) within 30 days of test completion.
  4. 10% after factory release (US\$4.32 million) within 30 days of confirmation.
  5. 40% upon delivery (US\$17.29 million) within 30 days of delivery.
  6. 10% after commissioning completion (US\$4.32 million) within 30 days of completion.
  7. Tariffs (US\$13.39 million) within 10 days of invoicing.
• Tariff Adjustment Clause: If tariffs increase and raise the purchase price by no more than 20%, the purchaser bears the excess cost. For increases above 20%, the excess is subject to negotiation, and if negotiations fail, either party may terminate the contract without liability.
• Delivery Timeline: All storage equipment is expected to be delivered by 31 August 2026.
• Financing: The purchase will be financed through internal resources and/or borrowings.

Strategic and Shareholder Implications

• Business Impact: The acquisition is in the ordinary and usual course of the Group’s business, supporting its strategy to expand in the solar and energy storage sector. The new storage equipment is expected to play a key role in a substantial US project, potentially enhancing Concord New Energy’s revenue and market presence in North America.
• Supplier Credentials: Trina Storage is a reputable supplier, with Trina Solar Co., Ltd. as its parent company. This partnership could further strengthen Concord New Energy’s technological capabilities and project execution in the US renewable energy sector.
• Warranty: The supplier will provide a 5-year warranty on the storage equipment, reducing operational risk and providing assurance on equipment reliability.
• Board’s View: The Board of Directors considers the terms to be fair, reasonable, and in the interests of the company and its shareholders.

Potential Price-Sensitive Factors

• Sizeable Transaction: The transaction size (over US\$56 million) is significant relative to the Group’s operations and may impact financial metrics, cash flows, and leverage ratios.
• US Market Entry: Successful execution of the 146 MW/292 MWh storage project in the US can boost the company’s growth profile and earnings in a key global market, potentially supporting share price appreciation.
• Tariff Risks: Exposure to US tariffs could affect project economics. Shareholders should monitor potential policy shifts that could impact final equipment costs.
• Disclosure Obligations: As a discloseable transaction under Chapter 14, this deal could draw increased investor and regulatory scrutiny.

About the Companies Involved

• Concord New Energy Group Limited: Headquartered in Singapore, the Group focuses on investment, operation, and services for wind, solar, and energy storage projects, and provides integrated clean energy solutions. The company is listed in Hong Kong (stock code: 182) and Singapore (stock code: SEG).
• Trina Storage: An independent energy storage solution provider, ultimately owned by Trina Solar Co., Ltd., a major global solar technology company listed on the Shanghai Stock Exchange.

Board Composition

As of the announcement date, the Board comprises executive, non-executive, and independent non-executive Directors, led by Chairman Mr. Liu Shunxing.

Disclaimer: This article is for informational purposes only and is not intended as investment advice or a solicitation to buy or sell any securities. Investors should conduct their own research or consult with a financial advisor before making investment decisions. The information provided is based on company disclosures as of 20 February 2026 and may be subject to change.

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