Over the past few months, a number of solar stocks have been mulling over plans to exit the public equity markets. Interestingly, a majority of them are based outside the United States. Yesterday, Canada-based Canadian Solar, Inc.’s (CSIQ – Free Report) CEO Shawn Qu announced plans to delist the company from the U.S. stock market.

Details of Canadian Solar’s Buyout Plans

Qu has offered to buy all of Canadian Solar’s outstanding common shares for $18.47 per share, reflecting more than a 7.1% premium over Dec 8 closing price of $17.25. The total value of this buyout is $1.07 billion. Qu is of the opinion that the deal will be beneficial since it represents roughly 10% premium to Canadian Solar’s average closing price over the last 90 days of trading.

The plan includes taking the company private into eight parts, detailing steps that include forming an acquisition vehicle to pursue the transaction and financing the deal with a combination of debt and equity capital. However, completion of the deal depends on approval from shareholders as well as the concerned regulatory authority.

Peers on the Same Path

Chinese solar panel manufacturer Trina Solar Ltd, which used to trade in the U.S. stock exchange with “TSL” ticker, started this drive of going private. In August 2016, it announced plans to go private. In March 2017, Trina Solar officially became private after completing its merger with Red Viburnum Company Limited — a wholly-owned subsidiary of Fortune Solar Holdings Limited.

In November 2017, JA Solar Holdings, Co., Ltd. (JASO – Free Report) — another Chinese solar company — signed a merger agreement, under which an investor consortium will purchase JA Solar in an all-cash transaction, thereby translating into an equity value of approximately $362.1 million. The transaction is expected to complete in the first quarter of 2018, based on customary closing conditions.