MEMC Electronic Materials has reached an agreement to purchase SunEdison, a solar power company. Under the agreement $200 million is to be paid to SunEdison security holders at closing, with 70% being paid in cash and 30% in MEMC stock. If SunEdison meets certain performance targets in 2010, then an earn-out provision of up to $89 million will also be included in cash and stock. The agreement also includes employee retention payments of $17 million cash at closing. Plus an additional $34 million in stock will be provided if SunEdison meets performance criteria and time vesting.

Ahmad Chatila is expected to be named Executive Vice President of MEMC and President of SunEdison. SunEdison has a strong name in the solar industry so it will continue to operate under this name, as a subsidiary of MEMC.

Approximately 300 people are employed by SunEdison worldwide, with headquarters based in Beltsville, Maryland.