Canadian Solar Inc has completed the purchase of a majority interest in two utility-scale solar power projects in Ontario with a total capacity of approximately 24 MW DC.

Subject to certain contractual conditions, Canadian Solar has the ability to complete a purchase of two additional utility-scale solar power projects in Ontario with a total capacity of approximately 22.5 MW DC, and an option to purchase a fifth solar project at a later date from SunEdison.

Each of the five solar power projects was awarded a 20-year power purchase contract (a "FIT Contract") by the Ontario Power Authority under Ontario's Feed-In-Tariff Program (FIT version 1.0).

The two projects purchased have each received Renewal Energy Approvals and are expected to commence construction in early 2013 and be fully operational by late 2013.

The remaining solar energy projects are in the advanced permitting stage and are expected to commence construction in early to mid-2013 and be fully operational by late 2013 and early 2014.

The aggregate transaction price is approximately C$37 million (US$ 38 million) payable in accordance with certain milestones.

The completion of the transaction also brings a settlement to litigation proceedings between Canadian Solar and SunEdison commenced in the Ontario courts in October 2011.

"We are very pleased to announce this transaction with SunEdison which further demonstrates Canadian Solar's ongoing investment and commitment to the Ontario solar energy market, and continues Canadian Solar's growth of its global solar project portfolio and higher margin total solutions business," said Dr. Shawn Qu, Chairman and Chief Executive Officer at Canadian Solar.

"Each of these four solar projects will create and sustain green jobs in Ontario and will generate clean, renewable energy for decades to come."