On November 11, 2019, SunPower announced plans to separate into two independent, complementary, strategically-aligned and publicly-traded companies—SunPower and Maxeon Solar Technologies. Each company will focus on distinct offerings built on extensive experience across the solar value chain. Wilson Sonsini Goodrich & Rosati is advising SunPower in the transaction.

The agreement includes an equity investment of $298 million to be made in Maxeon Solar by long-time partner Tianjin Zhonghuan Semiconductor Co., Ltd. (TZS), a premier global supplier of silicon wafers, to help finance the scale‐up of Maxeon® 5 production capacity. The separation is expected to occur through a spin‐off of all of the shares of Maxeon Solar held by SunPower to SunPower shareholders, followed by the TZS investment. After the completion of the transactions, TZS will own approximately 28.848 percent of the diluted ordinary shares of Maxeon Solar with approximately 71.152 percent will be owned by SunPower shareholders, as of the record date of the spin-off. SunPower expects to complete the separation and Maxeon Solar capital injection in the second quarter of 2020, subject to the satisfaction of various closing conditions.

The Wilson Sonsini team advising SunPower includes the following attorneys:

Corporate
Larry Sonsini, Senior and Founding Partner
Douglas Schnell, Partner
Broderick Henry, Associate

Litigation
Steve Schatz, Partner
Katherine Henderson, Partner

Corporate Finance
John Fore, Partner

CFIUS
Stephen Heifetz, Partner

For more information, please see the company’s press release.