Comments on: With Close to $800M, Solyndra Becomes One of the Most Capitalized Startups Ever http://earth2tech.com/2009/09/04/with-close-to-800m-solyndra-becomes-one-of-the-most-capitalized-startups-ever/ Helping the Earth with Technology Mon, 22 Mar 2010 08:59:42 +0000 http://wordpress.com/ hourly 1 By: Better Place Fuels Up With $350M, Focuses on 2011 http://earth2tech.com/2009/09/04/with-close-to-800m-solyndra-becomes-one-of-the-most-capitalized-startups-ever/#comment-45908 Better Place Fuels Up With $350M, Focuses on 2011 Mon, 25 Jan 2010 14:31:49 +0000 http://earth2tech.com/?p=40628#comment-45908 <p>[...] If you’ve been following the moves of electric vehicle infrastructure maker Better Place over the years then you’re well aware that its world ambitions will need a lot of capital. On Monday morning the company announced that it is raising a whopping $350 million in a series B round to help it build out its network of charging and battery swap stations across nations like Israel and Denmark. That’s one of the largest rounds for cleantech ever, and is similar in size to the massive fund-raising done by thin film solar company Solyndra. [...]</p> [...] If you’ve been following the moves of electric vehicle infrastructure maker Better Place over the years then you’re well aware that its world ambitions will need a lot of capital. On Monday morning the company announced that it is raising a whopping $350 million in a series B round to help it build out its network of charging and battery swap stations across nations like Israel and Denmark. That’s one of the largest rounds for cleantech ever, and is similar in size to the massive fund-raising done by thin film solar company Solyndra. [...]

]]> By: Solyndra Raised Close to $1B, and Other Fast Facts From Its S-1 http://earth2tech.com/2009/09/04/with-close-to-800m-solyndra-becomes-one-of-the-most-capitalized-startups-ever/#comment-43861 Solyndra Raised Close to $1B, and Other Fast Facts From Its S-1 Mon, 21 Dec 2009 05:01:53 +0000 http://earth2tech.com/?p=40628#comment-43861 <p>[...] 3, Solyndra says, it has raised “approximately $970 million through equity financings.” As of early September the company was saying it had raised close to $800 [...]</p> [...] 3, Solyndra says, it has raised “approximately $970 million through equity financings.” As of early September the company was saying it had raised close to $800 [...]

]]> By: Solar Tube Maker Solyndra Files for Potential $300M IPO http://earth2tech.com/2009/09/04/with-close-to-800m-solyndra-becomes-one-of-the-most-capitalized-startups-ever/#comment-43765 Solar Tube Maker Solyndra Files for Potential $300M IPO Fri, 18 Dec 2009 23:12:24 +0000 http://earth2tech.com/?p=40628#comment-43765 <p>[...] Solyndra, a Fremont, Calif.-based manufacturer of thin-film solar tubes, stayed quiet for years but came out of stealth in 2008 with an announcement that it had raised a massive $600 million from investors. The company then raised more and became one of the most capitalized startups to date with close to $800 million in financing. [...]</p> [...] Solyndra, a Fremont, Calif.-based manufacturer of thin-film solar tubes, stayed quiet for years but came out of stealth in 2008 with an announcement that it had raised a massive $600 million from investors. The company then raised more and became one of the most capitalized startups to date with close to $800 million in financing. [...]

]]> By: Silver Spring Networks Raises Another $100M http://earth2tech.com/2009/09/04/with-close-to-800m-solyndra-becomes-one-of-the-most-capitalized-startups-ever/#comment-43518 Silver Spring Networks Raises Another $100M Tue, 15 Dec 2009 13:01:46 +0000 http://earth2tech.com/?p=40628#comment-43518 <p>[...] startups, particularly web firms, reach, but an increasing amount of cleantech firms are joining. Solar thin film firm Solyndra has become one of the most capitalized startups to date with close to $800 million. Silver Spring [...]</p> [...] startups, particularly web firms, reach, but an increasing amount of cleantech firms are joining. Solar thin film firm Solyndra has become one of the most capitalized startups to date with close to $800 million. Silver Spring [...]

]]> By: VC Investment Climbs 14% to $6.1B in Q3 – GigaOM http://earth2tech.com/2009/09/04/with-close-to-800m-solyndra-becomes-one-of-the-most-capitalized-startups-ever/#comment-42116 VC Investment Climbs 14% to $6.1B in Q3 – GigaOM Fri, 20 Nov 2009 09:03:01 +0000 http://earth2tech.com/?p=40628#comment-42116 <p>[...] billion in the previous one, an increase of around 51 percent. Including the Twitter, Tesla and Solyndra deals that took place last month, California was home to eight of the 10 largest VC deals in the [...]</p> [...] billion in the previous one, an increase of around 51 percent. Including the Twitter, Tesla and Solyndra deals that took place last month, California was home to eight of the 10 largest VC deals in the [...]

]]> By: Rise & Shine: September 8, 2009 | Sweet Solar Home http://earth2tech.com/2009/09/04/with-close-to-800m-solyndra-becomes-one-of-the-most-capitalized-startups-ever/#comment-37777 Rise & Shine: September 8, 2009 | Sweet Solar Home Tue, 08 Sep 2009 17:01:45 +0000 http://earth2tech.com/?p=40628#comment-37777 <p>[...] With Close to $800M, Solyndra Becomes one of the Most Capitalized Startups Ever As for Solyndra’s ground breaking ceremony, it was a good day for the investors. Baruch called it “one of the most exciting moments” he’s experienced in his years of investing. TECHNOLOGY Solarmer Energy Enhances Performance and Efficiency for Organic Photovoltaics The FlexTech Alliance, focused on developing the electronic display and the flexible, printed electronics industry supply chain, has announced the award of a $450,000 contract to Solarmer Energy to design and synthesize high efficiency donor polymer materials for use in Organic Photovoltaics (OPVs). [...]</p> [...] With Close to $800M, Solyndra Becomes one of the Most Capitalized Startups Ever As for Solyndra’s ground breaking ceremony, it was a good day for the investors. Baruch called it “one of the most exciting moments” he’s experienced in his years of investing. TECHNOLOGY Solarmer Energy Enhances Performance and Efficiency for Organic Photovoltaics The FlexTech Alliance, focused on developing the electronic display and the flexible, printed electronics industry supply chain, has announced the award of a $450,000 contract to Solarmer Energy to design and synthesize high efficiency donor polymer materials for use in Organic Photovoltaics (OPVs). [...]

]]> By: solarman http://earth2tech.com/2009/09/04/with-close-to-800m-solyndra-becomes-one-of-the-most-capitalized-startups-ever/#comment-37629 solarman Sun, 06 Sep 2009 11:44:06 +0000 http://earth2tech.com/?p=40628#comment-37629 <p>A year ago when standard crystalline PV modules (CSI) averaging 15% efficiency were selling for $4+/Wp, they had a chance but needed to overcome technical and cost issues.</p> <p>Fast forward to present: they still have technical problems, plus CSI market is in a race to the bottom on price.</p> <p>CSI module prices are down to $1.7/Wp, and headed to <$1.5 in 2010.</p> <p>And with value-chain consolidation, massive cell/module overcapacity for the next 3 years, and more poly capacity coming online pushing poly prices to around marginal cost ($30-50/kg), <$1.5/Wp and below for 15.5-16% modules (yes, they're making marginal efficiency improvements) is here to stay.</p> <p>How can a 10-11% Solyndra module compete in this market? Or any thin-film, for that matter?</p> <p>Sure if you throw $800 million at a 500 MW factory, you will get economies of scale in ANY industry. But Solyndra's COSTS are unlikely to go below $1.5/Wp anytime soon, so will be loss-making.</p> <p>Sure, they'll continue the "thin-film superior performance" argument; but this is marginal at best. And the "cheaper install argument", although with CSI installs requiring 35% less panels, the install and BOS costs will be equal or less than Solyndra's.</p> <p>Rooftop space utilization? Smoke and mirrors. You'll never get an honest comparison from Solyndra of their system vs. a 15% CSI system tilted at 15-20% in SW USA. Because the CSI roof produces MORE power.</p> <p>Yes, Solyndra has a 1.2 GW "pipeline" of customers, but so did ALL the PV companies who are watching their customers walk out on contracts. These "take or pay" contracts have zero security because you'll bankrupt your customer by enforcing them.</p> <p>The same case will be for Solyndra, you'll see.</p> <p>Why? Installers have no choice but default as they compete for projects; they MUST choose the cheaper CSI. It's impossible to honor the Solyndra contract you signed for at $2 or $3 and compete against the guy buying even more efficiency CSI modules for only $1.5. Simply impossible.</p> <p>Not to even mention the ongoing technical problems at Solyndra and lack of installed proven reliability which limits project finance leverage and worsens the IRR for the installer/developer.</p> <p>I've been told installers are struggling to even get 50% leverage using Solyndra modules (if I am wrong, please direct me to a banker offering higher leverage).</p> <p>Even the mighty First Solar is being brought to its knees as even it cannot compete with <$1.5/Wp CSI. Reading the writing on the wall, it is acquiring massive install projects (Optisolar) so it has someone to sell to (itself). With only one margin end-to-end, it may be able to successfully compete in future power projects.</p> <p>The PV world has radically changed in 12 months, and there is no going back.</p> <p>The good news is cheap CSI is now offering grid parity MUCH faster than expected, and the solar boom will be intense once credit markets recover.</p> <p>The bad news is there is no longer a place for low-efficiency PV products like Solyndra and many others.</p> A year ago when standard crystalline PV modules (CSI) averaging 15% efficiency were selling for $4+/Wp, they had a chance but needed to overcome technical and cost issues.

Fast forward to present: they still have technical problems, plus CSI market is in a race to the bottom on price.

CSI module prices are down to $1.7/Wp, and headed to <$1.5 in 2010.

And with value-chain consolidation, massive cell/module overcapacity for the next 3 years, and more poly capacity coming online pushing poly prices to around marginal cost ($30-50/kg), <$1.5/Wp and below for 15.5-16% modules (yes, they're making marginal efficiency improvements) is here to stay.

How can a 10-11% Solyndra module compete in this market? Or any thin-film, for that matter?

Sure if you throw $800 million at a 500 MW factory, you will get economies of scale in ANY industry. But Solyndra's COSTS are unlikely to go below $1.5/Wp anytime soon, so will be loss-making.

Sure, they'll continue the "thin-film superior performance" argument; but this is marginal at best. And the "cheaper install argument", although with CSI installs requiring 35% less panels, the install and BOS costs will be equal or less than Solyndra's.

Rooftop space utilization? Smoke and mirrors. You'll never get an honest comparison from Solyndra of their system vs. a 15% CSI system tilted at 15-20% in SW USA. Because the CSI roof produces MORE power.

Yes, Solyndra has a 1.2 GW "pipeline" of customers, but so did ALL the PV companies who are watching their customers walk out on contracts. These "take or pay" contracts have zero security because you'll bankrupt your customer by enforcing them.

The same case will be for Solyndra, you'll see.

Why? Installers have no choice but default as they compete for projects; they MUST choose the cheaper CSI. It's impossible to honor the Solyndra contract you signed for at $2 or $3 and compete against the guy buying even more efficiency CSI modules for only $1.5. Simply impossible.

Not to even mention the ongoing technical problems at Solyndra and lack of installed proven reliability which limits project finance leverage and worsens the IRR for the installer/developer.

I've been told installers are struggling to even get 50% leverage using Solyndra modules (if I am wrong, please direct me to a banker offering higher leverage).

Even the mighty First Solar is being brought to its knees as even it cannot compete with <$1.5/Wp CSI. Reading the writing on the wall, it is acquiring massive install projects (Optisolar) so it has someone to sell to (itself). With only one margin end-to-end, it may be able to successfully compete in future power projects.

The PV world has radically changed in 12 months, and there is no going back.

The good news is cheap CSI is now offering grid parity MUCH faster than expected, and the solar boom will be intense once credit markets recover.

The bad news is there is no longer a place for low-efficiency PV products like Solyndra and many others.

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