Evergreen Solar intends to use the net proceeds (1) to fund its planned initial 100-megawatts (MW) wafer manufacturing facility in Wuhan, China, which, assuming the Wuhan government provides or facilitates financing for approximately two-thirds of the initial expansion cost, is expected to require between $15 million and $20 million; (2) to purchase capital equipment required for further expansion of its Midland, Michigan factory; and (3) for general corporate purposes, including working capital and possible payments to its Sovello joint venture (or Sovello’s lenders).

Evergreen Solar expects to grant to the underwriter a 30-day option from the date of the final prospectus supplement to purchase up to an additional $9 million of its common stock.

Piper Jaffray & Co. is acting as sole underwriter for the offering.

Evergreen Solar, Inc. develops, manufactures and markets String RibbonTM solar power products using its proprietary silicon wafer technology.

Evergreen Solar recently posted a net loss of $64.3 million for 1Q09.

Reprinted with permission from Sustainable Business