Suncool, ZFZ to offer solar heating/cooling solutions in China

Sweden’s Suncool AB and Chinese investment firm Zhong Fa Zhan Holdings Ltd (HKG:0475), or ZFZ, plan to set up a joint solar-powered air conditioning and heating business in the Asian country.

As part of the plan, the Swedish innovation company will provide its technology for the making of solar collectors that, apart from heating and hot water, can also offer air conditioning. “We are optimistic about the addressable market in Greater China for this new solar panel business will be generating more than CNY 20 billion [USD 3.22bn/EUR 2.9bn] revenue per year in the future,” ZFZ CEO, Hubert Chan, noted.

The new entity will be based in Zhejiang province’s city of Yuyao. The move has been largely supported by the local government and the China Energy Conservation and Environmental Protection (CECEP) Group, according to the press release.

The Suncool and ZFZ will offer their products mainly to commercial clients such as hotels, hospitals and other public buildings along with residential customers and solar distributors across China, Hong Kong, Macao and Taiwan. The partners have already signed definitive agreements in connection to the investment, which is currently subject to shareholders' approval.

(CNY 1.0 = USD 0.161/EUR 0.145)

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