This move will expand SunPower’s manufacturing capacity in the US. Following the completion of the acquisition, SunPower plans to inject fresh capital into the SolarWorld Americas facility.

It will also implement high-efficiency P-Series solar panel manufacturing technology at the facility.

SunPower CEO and board chairman Tom Werner said: “We are thrilled to announce this agreement to acquire SolarWorld Americas, one of the most respected manufacturers of high-quality solar panels for more than 40 years.

“The time is right for SunPower to invest in U.S. manufacturing, and SolarWorld Americas provides a great platform for us to implement our advanced P-Series solar panel manufacturing technology right here in our home market.

“P-Series technology was invented and perfected in Silicon Valley, and will now be built in SolarWorld Americas’ factory, helping to reshape solar manufacturing in America.”

The company also stated that it plans to increase SolarWorld Americas’ operations to capitalize on strong demand in the US solar market. It will invest in factory improvements and increase working capital, while retrofitting a portion of the facility to produce its P-Series solar modules.

Besides, SunPower plans to continue the production of SolarWorld Americas’  legacy products.

SolarWorld Americas CEO Jürgen Stein said: “SunPower is the solar industry technology leader. We are delighted that SunPower has agreed to inject fresh capital and their industry leading P-Series technology into SolarWorld Americas operations here in Hillsboro.”

The transaction is subject to approvals from the US and German regulatory authorities and other closing conditions. Closing of the acquisition is expected to take place in the coming months.

In October last year, SunPower announced a partnership with True Green Capital Management (TGC) to launch a new fund to financially support commercial solar projects in the US. The $140m fund is expected to finance about 50MW of SunPower’s solar projects.