DGAP-News
Phoenix Solar AG sells European O&M business
DGAP-News: Phoenix Solar Aktiengesellschaft / Key word(s): Mergers &
Acquisitions
Phoenix Solar AG sells European O&M business
06.08.2014 / 13:49
---------------------------------------------------------------------
Phoenix Solar AG sells European O&M business
Sulzemoos, Germany, 6 August 2014 / Phoenix Solar AG (ISIN DE000A0BVU93),
an international photovoltaic system integrator listed in Prime Standard of
the Frankfurt Stock Exchange, has sold its operation and maintenance
activities (O&M business) in Europe to SMA Solar Technology AG by way of a
contract (asset deal) dated 6 August 2014. The parties agreed to keep the
contractual content confidential. The proceeds from the sale are to be used
to repay debt and to strengthen the company's core operations. The disposal
does not affect the O&M activities of the company's subsidiaries,
particularly in the USA and Asia, which are run independently. Instead,
their O&M business is to be expanded in the context of EPC projects
realised in the future. The validity of the sale is still contingent on a
few prerequisites which are to be fulfilled in the coming weeks.
The disposal has been planned and preparations have been under way since
the end of 2013. Part of the process was to assess the importance of this
business against the backdrop of the way Phoenix Solar AG's strategy was
developing. Three aspects prompted the consideration of a sale: the
discontinuation of the project business operated from Germany in the first
quarter of 2013 and the resulting lack of new business generated for O&M,
the downtrend in the construction of large photovoltaic power plants by the
European subsidiaries and the lack of synergies with the O&M activities of
the subsidiaries in Asia and the USA.
The good earnings position of the business, which enjoys a great deal of
stability owing to the contract portfolio existing with partly long
contractual terms, combined with a motivated team which guarantees that the
business will continue to run smoothly, were indications that a transfer to
another market participant would be successful. The proceeds from the sale
are to be used to repay debt and to strengthen the company's core
operations.
Dr. Bernd Köhler, Chief Executive Officer of Phoenix Solar AG, stated:
"It was not an easy decision for us to part with our Ulm-based O&M
business. However, in view of our strategic focus on Asia and the USA,
providing support for large solar parks in Europe was no longer readily
compatible. Seen from this standpoint, the business did not have a
strategic perspective. By contrast, we know that the prospects for our
European O&M activities are very good with SMA, and that our former
Sulzemoos, Germany, 6 August 2014 / Phoenix Solar AG (ISIN DE000A0BVU93),
an international photovoltaic system integrator listed in Prime Standard of
the Frankfurt Stock Exchange, has sold its operation and maintenance
activities (O&M business) in Europe to SMA Solar Technology AG by way of a
contract (asset deal) dated 6 August 2014. The parties agreed to keep the
contractual content confidential. The proceeds from the sale are to be used
to repay debt and to strengthen the company's core operations. The disposal
does not affect the O&M activities of the company's subsidiaries,
particularly in the USA and Asia, which are run independently. Instead,
their O&M business is to be expanded in the context of EPC projects
realised in the future. The validity of the sale is still contingent on a
few prerequisites which are to be fulfilled in the coming weeks.
The disposal has been planned and preparations have been under way since
the end of 2013. Part of the process was to assess the importance of this
business against the backdrop of the way Phoenix Solar AG's strategy was
developing. Three aspects prompted the consideration of a sale: the
discontinuation of the project business operated from Germany in the first
quarter of 2013 and the resulting lack of new business generated for O&M,
the downtrend in the construction of large photovoltaic power plants by the
European subsidiaries and the lack of synergies with the O&M activities of
the subsidiaries in Asia and the USA.
The good earnings position of the business, which enjoys a great deal of
stability owing to the contract portfolio existing with partly long
contractual terms, combined with a motivated team which guarantees that the
business will continue to run smoothly, were indications that a transfer to
another market participant would be successful. The proceeds from the sale
are to be used to repay debt and to strengthen the company's core
operations.
Dr. Bernd Köhler, Chief Executive Officer of Phoenix Solar AG, stated:
"It was not an easy decision for us to part with our Ulm-based O&M
business. However, in view of our strategic focus on Asia and the USA,
providing support for large solar parks in Europe was no longer readily
compatible. Seen from this standpoint, the business did not have a
strategic perspective. By contrast, we know that the prospects for our
European O&M activities are very good with SMA, and that our former
Diskutieren Sie über die enthaltenen Werte
Aktuelle Themen
Weitere Artikel des Autors
1 im Artikel enthaltener WertIm Artikel enthaltene Werte