Chinese wind turbine maker may bid for Vestas, says China Daily

China Ming Yang Wind Power Group Ltd, the New York-listed wind turbine manufacturer, is considering acquiring Vestas Wind System, a maker of wind turbines, according to a China Daily report. “Ming Yang will offer 1.4 to 1.5 billion euros ($1.72 billion to $1.97 billion) to buy the Danish company,” says China Daily, citing an unnamed source.

Ming Yang Wind Power, a Chinese wind power company, makes the 10th largest amount of turbines in the world. In the first quarter of 2012, Ming Yang's revenue plunged by more than 70 percent year-on-year, the result mainly of over capacity in the industry and government tightening policies.

Vestas produces the most turbines and has operated in the field of wind power for more than 30 years. During the first quarter of 2012, Vestas passed 50 GW of installed capacity, and has installations in 69 countries. The company claims that a single Vestas wind turbine will generate more than 25 times the energy to society than it uses in its entire lifecycle, while emitting only one percent of carbon dioxide when compared to a coal power plant. 

Vestas reported that it saw a larger-than-expected loss in the first quarter, the result largely of delayed deliveries and rising costs. The Danish company closed its factory in Hohhot, Inner Mongolia autonomous region, last month. The company installed only 501 MW worth of wind turbines in China in 2011, down 42 percentfrom a year earlier. Several of the company's global counterparts have also seen theiroperations reduced in the world's largest wind market.