Key points:
- Borqs Technologies stock rallied 25.1% on the solar energy contract win.
- Borqs’ solar power subsidiary HHE was awarded the contract in Hawaii.
- Investors cheered the award, as evidenced by the rally in Borqs stock price.
The Borqs Technologies Inc (NASDAQ: BRQS) stock price surged 25.1% after revealing that its subsidiary Holu Hou Energy (HHE) had partnered with a State Agency to supply solar plus energy storage systems for Kunia Village. The deal was signed with the Hawaii Green Energy Infrastructure Authority (HGIA).
Also read: The Best Green Energy Stocks To Buy in 2022.
The company hailed the contract win as a critical milestone since it is a crucial hallmark of its transition into the renewable energy sector. In addition, investors were happy to learn that the contract will see Holu Hou Energy serve 135 housing units, an administration building, a church, a gymnasium, and a former store.
The contract will allow residents of Kunia Village to lower their electricity bills. The residents can enrol in the program to use the electricity generated by the project via a leasing arrangement created by HGIA and HHE.
The two entities have formed a 3rd party lease program that leverages HGIA’s Green Energy Market Securitization financing products through which members of the community can enrol in the energy-saving program.
Every housing unit shall get a solar power generation unit and the HoluPower energy storage system. HHE will be in charge of designing and installing the systems as a contractor approved to work on HGIA funded projects.
Borqs Technology recently released its 2021 full-year results, where its revenues rose 10.5% to $29.56 million versus the $26.75 million generated in 2020. The firm’s pre-tax profits surged to 4431,000.
However, Borqs still reported a net loss of $56.5 million as its operating costs and expenses ballooned. The company spent significant amounts on convertible note discounts from its funding transactions and debt settlement charges after completely repaying loans from Partners For Growth.
Borqs Technologies' outlook for 2022 is promising, which could underpin a rally in the company’s share price.
*This is not investment advice. Always do your due diligence before making investment decisions.
Borqs Technologies stock price.
The Borqs Technologies stock price rose 25.1% to trade at $0.2178, rising from Tuesday’s closing price of 0.1741.