(Reuters) - Solar power maker SunPower Corp said it agreed to buy Tenesol, a unit of French oil major Total SA, for $165.4 million in cash.
Upon closing of the deal, Total will buy 18.6 million SunPower shares in a private placement for $8.80 per share. This is a 50 percent premium to SunPower closing price of $5.85 on Thursday.
After the sale of Tenesol, Total will own about 66 percent of SunPower shares.
Tenesol, which has solar panel manufacturing facilities in France and South Africa, is expected to post revenue of about 200 million euros ($261.30 million) in 2011. ($1 = 0.7654 euros) (Reporting by Swetha Gopinath in Bangalore; Editing by Maju Samuel)