Xantrex Technology Inc. (TSX:XTX), a solar inverters producer, and Solon AG, a European solar module manufacturer, have signed an agreement valued at more than US $10 million. Under this two-year agreement, Xantrex will supply custom solar grid tie inverters to Solon AG.

What's interesting about this is that it marks a clear way of getting into the European (for which read Germany) solar market for Xantrex. There's much more to solar power than just the panels and inverters are crucial balance of systems components. Xantrex claims to have inverters in place for over 3000 MW of wind and solar power around the world. An inverter by the way converts direct current electricity to alternating current.

Xantrex closed yesterday at 8.00 having risen from just over 5 in mid-August earlier this year.