SunPower is getting out of the microinverter business, and Enphase is buying the rights to a high end foothold.
Following through on a deal announced in June, Enphase has closed on its acquisition of SunPower’s microinverter business for $25 million in cash, and 7.5 million shares of Enphase stock. $15 million of the cash will now be paid to SunPower, with another $10 million on December 28.
SunPower’s microinverter business dates back to its 2014 acquisition of microinverter startup SolarBridge. Through the acquisition Enphase will gain access to over 140 of SunPower’s patents, and the SolarBridge technology will be laid aside.
Enphase will also offer a custom version of its IQ microinverter line that specifically works with SunPower’s 96-cell 320W X series, as part of its deal to become SunPower’s exclusive supplier for its AC modules. AC modules represented 80% of SunPower’s residential sales at the end of the first quarter of 2018.
The X Series is the most efficient panel you can buy at 22.8% (although bifacial panels on a bright white roof might end up higher). Enphase microinverters will also now be part of SunPower’s Equinox residential solar package.
Enphase has suggested that the deal will bring in an additional $60-70 million in annual revenue by the start of the second half of 2019.