ZBB Energy and Solar Power, Inc. (SPI) Announce Closing of Global Strategic Partnership; ZBB Announces Management and Board Changes

MILWAUKEE, WI--(Marketwired - Jul 14, 2015) - ZBB Energy Corporation (NYSE MKT: ZBB), a leading developer of innovative energy management systems solutions serving the utility, commercial and industrial building markets, today announced the closing of the Securities Purchase Agreement and Supply Agreement with Solar Power, Inc. ("SPI") (OTCBB: SOPW), a vertically-integrated photovoltaic ("PV") developer. This agreement was previously announced in a press release dated April 17^th, 2015. The Supply Agreement requires ZBB Energy to deliver energy storage systems with total combined power output of 40 megawatts (MW) over a period of four years. The value of this initial supply agreement is estimated at $80 million to $120 million, depending on the mix of storage applications and installation requirements. Pursuant to the Securities Purchase Agreement between SPI and ZBB, SPI purchased a total of $33.4 million of newly issued common stock and convertible preferred stock of ZBB. SPI purchased 8,000,000 shares of ZBB common stock for approximately $5.3 million at a price per share of $0.6678 and 28,048 shares of ZBB Series C Convertible Preferred Stock for approximately $28.0 million. The aggregate purchase price of the preferred shares was determined based on a price of $0.6678 per common equivalent. The preferred shares are only convertible upon the completion of specific procurement milestones detailed in the Supply Agreement.

The strategic partnership was approved by ZBB shareholders at a special meeting held on July 9, 2015.

In addition to the closing of the partnership with SPI, ZBB Energy is announcing certain changes to its management team and to the board of directors.

Eric Apfelbach will become the Vice Chairman of the Board and Bradley Hansen has been appointed to the position of CEO and President of ZBB Energy. Brad came to the Company in May of 2014 in the position of President and COO. Brad's broad operating background in both the U.S. and China fits perfectly with ZBB Energy's global strategic plan. "After a year of working closely with Brad and seeing his leadership abilities first hand, the board is very confident about the future of the Company under Brad's leadership," said Paul Koeppe, Chairman of the Board. "His technical and organizational competency are essential as we build a global systems business."