First Solar Buys Evolar AB in Quest for Next-Gen Solar Cells

First Solar has announced that it will purchase Swedish photovoltaic (PV) startup Evolar AB to gain expertise and experience with thin-film perovskite materials. 

Thin film photovoltaic solar technology manufacturing. Image used courtesy of First Solar 

Arizona-based First Solar was established in 1999 and is the world's sixth-largest PV cell manufacturer and the largest cadmium telluride (CdTe) solar panel manufacturer. The purchase price is approximately $38 million, which will be paid with up to an additional $42 million to be paid subject to certain future technical milestones—the deal could eventually be valued at $80 million and is intended to accelerate First Solar's development of so-called tandem cells that would offer much higher conversion efficiencies than CdTe alone.

Concentrating on Cadmium  

Unlike most companies that make crystalline silicon solar PVs, First Solar has concentrated its efforts on CdTe solar panels. Because CdTe is a more abundant material than silicon and can be processed using less energy, solar panels can be manufactured from CdTe at a lower cost than silicon solar panels. Because CdTe has a wider bandgap than silicon, it can absorb more sunlight, so these solar panels can also be made more efficient than those made from silicon. Lighter and more flexible than silicon solar panels, they are more adaptable to various applications. Although cadmium is a toxic material, the solar panels are designed to contain it, and they do not release any cadmium into the environment during normal operation.

99.995% fine cadmium. Image used courtesy of Adobe Stock

Perovskites

Perovskites are materials that have recently emerged as promising new technology for solar cells. They offer the potential to achieve higher efficiencies than traditional silicon solar cells and can be manufactured at a lower cost. Evolar is one of the leading developers of perovskite solar cells, and its acquisition by First Solar will give the company access to Evolar's technology and expertise.

Evolar was established in 2019 and has focused on developing solutions and manufacturing equipment for commercializing tandem solar technology utilizing perovskite thin films.

First Solar believes that the acquisition of Evolar will help it to become a leading player in the next generation of solar cells. The company plans to use Evolar's technology to develop tandem cells that combine CdTe and perovskite materials. Tandem cells have the potential to achieve efficiencies of over 25%, which would be a significant improvement over current CdTe solar cells.

Made in North America

First Solar manufactures solar cells in Perrysburg, Ohio, and Agua Prieta, Mexico. The company's raw materials come from a variety of sources, including:

• Cadmium telluride (CdTe) from Australia, Canada, and China
• Glass from the United States and Europe
• Steel from the United States and Europe
• Other materials, such as solder, adhesives, and polymers, from a variety of countries

First Solar has a vertically integrated supply chain and controls everything manufacturing related, from mining raw materials to producing solar cells, allowing the company to ensure quality products and reduce its environmental impact.

The acquisition of Evolar is a major strategic move for First Solar. It is the company's first acquisition since 2016, a sign that First Solar is serious about competing in the next generation of solar cells. The deal boosts the solar industry as a whole, as it shows that there is still significant investment and innovation is still happening in the sector.