Exchange traded funds (ETFs) that provide exposure to the global solar energy sector rallied at Friday’s open after French energy giant Total (TOTF.PA) said it will purchase up to 60% of SunPower (NasdaqGS: SPWRA) for about $1.4 billion.

The offer at a big premium “is a validation for the solar sector and confirms the notion that valuations are compelling,” Jefferies analysts said in a note. SunPower shares rallied 40%.

“The take out is also validation for SunPower’s high efficiency technology, and gives Total the ability to realize a gain on its investment by keeping 40% of the company publicly traded,” they wrote. “We feel the stock can increase further, above the tender price, as a result of Total’s lowest cost of capital and project development business in 130 countries.”

SunPower ranks as a top holding in Guggenheim Solar ETF (NYSEArca: TAN) and Market Vectors Solar Energy ETF (NSYEArca: KWT) at between roughly 3% and 4% of assets.