Applied Materials, a supplier of computer chip-making equipment, said Tuesday it has signed a contract valued at $1.9 billion with a privately held company based outside the U.S.
Shares of the Santa Clara, Calif.-based company spiked 85 cents, or 4.5 percent, to $19.73 in morning trading. Shares have traded between $16.13 and $23 in the past 12 months.
According to a filing with the Securities and Exchange Commission, Applied Materials will supply equipment and installation and warranty services for multiple solar factories to be constructed by the company.
Collectively, the factories are expected to produce an annual output of solar modules capable of generating gigawatts of electricity, the company said.