DGAP-News

S.A.G. Solarstrom AG concludes sale of German projects, investor process making good progress

DGAP-News: S.A.G. Solarstrom AG / Key word(s): Miscellaneous
S.A.G. Solarstrom AG concludes sale of German projects, investor
process making good progress

06.08.2014 / 08:00

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S.A.G. Solarstrom AG concludes sale of German projects, investor process
making good progress

- Closing of the sale of the last three photovoltaic systems in German
portfolio

- Photovoltaic projects in Daßlitz and Sondershausen have 5 MWp total
output

- Cash inflow in single-digit million range

Freiburg i. Br., 08/06/2014. S.A.G. Solarstrom AG (under insolvency
proceedings), German security identification number: 702 100, ISIN:
DE0007021008 has concluded the sale of the last three photovoltaic projects
in its German portfolio. In late February, the company already reported the
closing of the sale of the largest project in its portfolio, the
photovoltaic system Jüterbog with 10.1 MWp, and thus was able to repay most
of the bridging loan for the portfolio. After a few more projects, the sale
of the last three photovoltaic systems with a total output of 5 MWp has
been concluded to private investors - one photovoltaic system in Daßlitz
and two photovoltaic systems in Sondershausen. With the closing of the sale
of the remaining three photovoltaic systems in the German portfolio, S.A.G.
Solarstrom AG will receive further funds in the mid-single-digit million
range.

Cash inflow enables best possible strategic option

"In 2013, the insolvency of a component supplier and various sub-providers
led to considerable delays in closings, while in 2014 it was the insolvency
of S.A.G. Solarstrom AG. Originally, we had assumed that we would be able
to conclude the sale by the end of June 2014", says Dr. Karl Kuhlmann, CEO
of S.A.G. Solarstrom AG. "However, as we wanted to achieve an adequate
market price, as in previous projects, the process took somewhat longer. We
have now succeeded in successfully closing the sale of all German projects
and thus securing the expected cash inflow".

Further cash inflows from the closing of the sale of an Italian portfolio
as well as from the repayment of a loan are still outstanding, but are
likewise expected in the next few weeks. "We will not allow ourselves to be
put under pressure, as is so often the case in insolvency proceedings, but
are likewise negotiating appropriate solutions in these cases. Hasty
decisions are not necessary", says Dr. Kuhlmann. These three considerably
delayed cash inflows in the total amount of EUR20 million led to the
liquidity crisis in December 2013 and ultimately to the company's filing