Adding a feather to its global operations, US-based solar panel maker SunPower Corporation is set to buy SunRay Renewable Energy Ltd, a solar-plant developer from Europe. The deal is agreed upon for nearly $277 million.

The deal, as finalized, includes a cash payment $235 million to the shareholders of SunRay and a letter of credit and promissory notes worth $42 million.

SunRay's management and a private investment firm named Denham Capital Management are also part of the company's shareholders.

The deal would help SunPower gain a bunch of solar photovoltaic projects with a total capacity of over 1,200 megawatt. These projects are spread over six different countries.

The deal came at a time when SunPower was planning to expand its operations outside the US. Though the company grew remarkably in North America last year it really lagged in Europe and Middle East. The company expects the SunRay team to bridge that gap for it.

Both SunPower and SunRay had worked together in the past. As per Howard Wenger, President of SunPower's utilities and power plants group, SunRay's track record in terms of developing solar plants in complex environment.