Why Vivint Solar's Shares Jumped 105.5% in July
Shares of solar installer Vivint Solar (NYSE: VSLR) jumped 105.5% in July, according to data from S&P Global Market Intelligence, after agreeing to merge with competitor Sunrun (NASDAQ: RUN). The merger will combine two of the largest residential solar installers in the country and create a potentially disruptive renewable energy stock.
Vivint Solar shareholders will get 0.55 shares of Sunrun when the merger is complete. Sunrun gave the usual rationale for the deal, pointing to $90 million in potential cost synergies and the advantage of having additional scale in the solar industry. But I think the real driver of value could be further down the road.
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Source Fool.com
