SunEdison (SUNE) Will Shift Partnership Model in India; Now Looks to Take Minority Interests

SunEdison (NYSE: SUNE) shares are on watch as the company is said to be moving from a total equity ownership model of solar farm development in India and will instead take minority equity partners over 750-MW of solar and wind projects expected to be developed over the next two years.

News comes as SunEdison continues to struggle with liquidity issues, with its partners largely expecting a bankruptcy filing from the company soon.

The agreements will cover projects not yet started by SunEdison, according to the Economic Times. Most power purchase agreements in India allow equity partnerships of up to 49 percent.

One SunEdison official in Asia commented to the Economic Times, Earlier, one of our equity partner was our yieldco and would acquire projects after commercial operations are reached. Currently, our yieldco is not trading well because the energy markets in the US are completely down. So, we need to look at alternative equity partners now.

Shares of SunEdison are indicated higher early Monday.

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