ReneSola soars after Gintech deal, raises guidance

Wed May 14, 2008 1:00pm BST

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LONDON, May 14 (Reuters) - China's ReneSola (SOLA.L: Quote, Profile, Research) said on Wednesday it had signed a six-year deal to supply 525 megawatts worth of polysillicon, a key component for solar panels, to Taiwanese solar cell maker Gintech Energy (3514.TW: Quote, Profile, Research) starting from mid-2008.

Shares in ReneSola, also listed in New York (SOL.N: Quote, Profile, Research), pushed on in London to be 12 percent higher by 1158 GMT.

The shares had already risen around 7 percent after ReneSola raised its full-year outlook when it issued first quarter results, the second time it has upgraded guidance this year.

It raised revenue guidance by 7 percent to $570-590 million and its 2008 production target by 6.25 percent to a range 330-340 MW.

(Reporting by Chris Wills, Editing by Mark Potter)

(chris.wills@thomsonreuters.com; 0044 (0)20 7542 5331; Reuters Messaging: chris.wills.reuters.com@reuters.net))