Could SunPower Be a Buyout Target?

When Total (NYSE: TOT  ) took a majority stake in SunPower (NASDAQ: SPWR  ) , there were provisions in place that made it very difficult to buy additional shares or buy the company outright. But that lockup has ended, and Total can now make a bid for the rest of SunPower. 

Solar specialist Travis Hoium has brought this topic up with SunPower's management, and for the time being they don't think a deal is imminent. But as oil giants watch profits getting squeezed by high exploration costs and global fossil-fuel energy growth slowing, the solar industry could be attractive. 

Find out how Travis thinks this dynamic will play out in the following video below. 

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  • Report this Comment On June 05, 2014, at 7:39 AM, clanza875 wrote:

    Total owns 10 million warrants to purchase spwr stock at less than $8 per share in 2018. They can't take advantage of this option if their equity stake exceeds 67%. So why would Total give this up to pay a premium for the remaining shares? Of course management doesn't think a buyout is imminent.

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Travis Hoium

Travis Hoium has been writing for since July 2010 and covers the solar industry, renewable energy, and gaming stocks among other things.

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8/28/2015 4:00 PM
SPWR $24.32 Up +0.45 +1.89%
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Total (ADR) CAPS Rating: *****