Meyer Burger focuses on module production in Arizona and initiates comprehensive restructuring measures

Meyer Burger Technology AG / Key word(s): Financing/Restructure of Company Meyer Burger focuses on module production in Arizona and initiates comprehensive restructuring measures 26-Aug-2024 / 06:40 CET/CEST Release of an ad hoc announcement pursuant to Art. 53 LR The issuer is solely responsible for the content of this announcement. Ad hoc announcement pursuant to Art. 53 LR Thun, August 26, 2024

 

Meyer Burger focuses on module production in Arizona and initiates comprehensive restructuring measures

• The construction of a solar cell manufacturing facility in Colorado Springs, Colorado, is currently not financially viable and has been put on hold
• Meyer Burger focuses on the operation of the 1.4 gigawatt nominal module production capacity in Goodyear, Arizona, which is currently being ramped up
• The previously targeted debt financing via the monetization of so-called 45X tax credits will be pursued with a lower volume. Meyer Burger expects significantly lower remaining financing needs and a lower medium-term profitability target
• A restructuring program is being prepared in order to achieve sustainable profitability

Meyer Burger Technology AG announced today that the planned construction of a solar cell production facility in Colorado Springs, Colorado, USA, is no longer financially viable for the company due to recent developments and that the project will therefore be discontinued. The planned cooperation with a US technology group will not be implemented at present in view of the revised strategy.

As part of this realignment, Meyer Burger is focusing on the nominal capacity of 1.4 gigawatts at the module production plant in Goodyear, Arizona, U.S., which is already largely installed and in the ramp-up phase. The existing cell production site in Thalheim (Bitterfeld-Wolfen), Germany, will remain fully operational and - contrary to previous plans - will continue to form the backbone of Meyer Burger's solar cell supply. Under the current market conditions, these solar cells are the most economical option for supplying the module production in Goodyear. With this arrangement, the company expects to be able to service the existing long-term purchase contracts and to fully utilize the production capacity in Goodyear. The expansion of the nominal module production capacity in Goodyear by an additional 0.7 gigawatts has been suspended for the time being and remains an option that the company will decide on in the context of the upcoming restructuring program and depending on the progress of ongoing discussions with customers.