Image source: Visual China

Interface News Reporter |

Trina Solar's (688599.SH) distributed business fell into a turbulent adjustment period after the IPO was terminated.

On February 25, Jiemian News learned from multiple sources that Zhang Bing, president of Tianhe Fujia, had resigned. A source who did not want to be named pointed out to Jiemian News that Tianhe Fujia has recently made a series of adjustments, and it may be because of the termination of the spin-off and listing, and the management of Fujia has some ideas, but they are still being negotiated and pulled.

However, some people close to Tianhe's rich family told Jiemian News that Zhang Bing still has a position in the company, and many things are undecided.

Previously, industry insiders told Jiemian News that at present, there are many internal struggles in Tianhe's rich family, and the top management is facing major adjustments.

Tianyancha shows that as of February 25, Zhang Bing is still the legal person of Tianhe Fujia, and his position is shown as director and general manager. According to Jiemian News, at the end of December last year, Tianhe Fujia's official WeChat was still releasing relevant content about President Zhang Bing, when he attended the event to participate in the roundtable dialogue and promote Fujia's business philosophy.

Zhang Bing Image source: Tianhe Fujia official account

Founded in 2016, Trina Rich is a subsidiary of photovoltaic module leader Trina Solar focusing on the distributed photovoltaic power generation market, and the company's chairman is Gao Haichun, the daughter of Gao Jifan, chairman of Trina Solar. Tianyan check shows that Trina Solar currently holds 70.09% of the shares of Trina Fujia.

Zhang Bing has been deeply involved in the photovoltaic industry for more than 10 years, has rich experience in market operation and management, and has made profound contributions to the development of Trina Solar's distributed business. According to previous public information, Zhang Bing served as senior vice president of Trina Solar and president of Trina Smart Distributed.

In addition, Zhang Bing's tenure also includes co-chairman of the Household Photovoltaic Special Committee of the China Photovoltaic Industry Association and chairman of the China Industrial and Commercial and Household Photovoltaic Brand Alliance.

According to a report by "Alpha Factory" in January last year, among the directors of Tianhe Fujia, except for Gao Jifan's 24.4866% stake after penetration, Zhang Bing has the highest proportion of shares, holding 6.64455% of the shares, surpassing Gao Haichun's 3.47656%.

At present, Tianyancha does not directly show Zhang Bing's shareholding ratio in Tianhe Rich. Zhang Bing holds 51.87% of the shares of Shanghai Fuhexin Enterprise Management Partnership (Limited Partnership) and holds 11.276% of the shares of Tianhe Fujia.

In April 2023, Trina Fujia planned to go public independently after being spun off from Trina Solar, but it was terminated in early December last year after more than a year of planning.

A month after the termination of Trina Solar's IPO, Trina Solar officially announced Gao Haichun's new appointment and added him as co-chairman of Trina Solar, which caused heated discussions in the market.

At the time, Trina Solar said that Gao Haichun would assist his father, Gao Jifan, in handling the day-to-day operations of the board of directors and ensuring that all work was in line with regulations.

In the previous announcement, Trina Solar believes that the termination of the planned spin-off of Trina Fujia is a strategic decision made by the company based on the development trend of the industry and its own advantages.

Trina Solar also told Jiemian News that considering the great development of the new power system market in the future, Fujia no longer needs to consider issues such as independence and related party transactions after the termination of the spin-off.

On April 21, 2023, a few days after Tianhe Fujia announced its spin-off and listing plan, a new round of capital increase and share expansion began. At that time, the announcement showed that 13 companies, including Trina Solar, Shanghai Fuqinhui, Shanghai Fuhuisheng, Shanghai Fuzhaoxu, and Jiaohui New Power, planned to increase their capital by a total of 1.902 billion yuan to Trina Fujia. A month later, Tianhe Fujia once again carried out a strategic financing of 721 million yuan.

So far, the valuation of Tianhe Rich has reached more than 20 billion.

In the past two years, the development of distributed photovoltaic has been bumpy.

In June 2021, the National Energy Administration issued a document to officially launch the distributed county-wide promotion work, and subsequently officially determined the pilot list of 676 county-wide promotions.

However, with the large number of distributed photovoltaic access to the Internet, the problem of new energy grid connection has appeared in many places, and the recent proposal of the new policy for new energy to enter the market has brought more uncertainty to the income of distributed photovoltaics.

Recently, the National Development and Reform Commission and the National Energy Administration issued the "Notice on Deepening the Market-oriented Reform of New Energy Feed-in Tariffs and Promoting the High-quality Development of New Energy", which clearly states that the market-oriented reform of new energy feed-in tariffs will be deepened in accordance with the requirements of price market formation, fair responsibility, differentiated stock increment, and overall policy coordination.

"The good days have not yet passed, and the sky has changed." A person from a distributed photovoltaic company told Jiemian News. Tianhe Fujia is also facing such a development dilemma.

In addition to the industrial environment, in terms of the capital market, the current tightening of IPOs has not significantly improved. This has also led to the withdrawal or termination of the IPOs of many photovoltaic companies in the past two years, and Trina Solar's spin-off and listing plan has also been forced to be suspended.

At present, Trina Solar plans to transform and upgrade from a traditional photovoltaic product manufacturer to a total solution provider of photovoltaic and energy storage smart energy, and realize the layout in the fields of photovoltaic modules, photovoltaic brackets, energy storage systems, centralized and distributed systems.

In terms of photovoltaic distributed systems, Trina Fortune ranks among the top two in the world, with a market share of nearly 20% in the domestic residential market. Soochow Securities previously commented that its distributed development profits exceeded expectations.

Trina Solar distributed development of 2-2.5 GW in the first half of 2024, including 1.6 GW in the second quarter, according to the agency's data. The report predicts that the company's distributed development will be 6 GW in 2024.

According to the semi-annual report, Tianhe Fujia has more than 4,000 residential, industrial and commercial channel supermarkets and more than 20,000 service outlets, and has provided original power stations and services for more than 1.2 million users.

As the parent company of Trina Fujia, Trina Solar, which is engaged in the silicon industry chain, has also been mired in a period of industry adjustment in the past two years. The performance forecast shows that it is expected to have a net profit loss of 3.2 billion to 3.8 billion yuan last year.

As of the close of trading on February 25, Trina Solar fell 0.59% to close at 16.85 yuan per share, with a total market value of about 36.7 billion yuan.