DGAP-News: S.A.G. Solarstrom AG / Key word(s): Disposal
S.A.G. Solarstrom AG: Sale of 33 MWp Wymeswold system completed
11.11.2013 / 09:59
---------------------------------------------------------------------
S.A.G. Solarstrom AG: Sale of 33 MWp Wymeswold system completed
- Joint sale by Hazel Solar 2 LLP and S.A.G. Solar UK Ltd.
- S.A.G. Solarstrom Group receives inflow of liquidity as planned
Freiburg, November 11, 2013. S.A.G. Solar UK Ltd., a wholly owned
subsidiary of S.A.G. Solarstrom AG (German security identification number:
702 100, ISIN: DE0007021008), has completed the sale of the 33 MWp
Wymeswold photovoltaic system as planned together with Hazel Capital Solar
2 LLP. The photovoltaic power plant, which is currently the largest in the
UK, was sold to an institutional investor for an amount in the medium
double-digit million range. S.A.G. Solar UK Ltd. constructed the Wymeswold
photovoltaic system in Q1 2013 as a general contractor, arranged a bridging
loan and the conclusion of a power purchase agreement together with the
project partner and has now participated in the sales profit as scheduled
under a financial agreement. With the conclusion of the transaction, the
S.A.G. Solarstrom Group will now receive liquid funds in the high
single-digit million range. A considerable portion of this will initially
be tied up as cash deposits for any warranties arising for two years. The
successful conclusion of sale illustrates the S.A.G. Solarstrom Group's
wealth of experience in the planning, implementation, financing, and in the
conclusion of power purchase agreements and the sale of photovoltaic plants
on the scale of power plants.
'Wymeswold is a good example of how the S.A.G. Solarstrom Group
successfully implements large-scale projects even under difficult
conditions', says Dr. Karl Kuhlmann, CEO of S.A.G. Solarstrom AG. 'With
this large-scale project and other projects in the UK, we have also
gathered experience in the conclusion of power purchase agreements with a
private, international energy company - and thus independent of
state-guaranteed feed-in tariffs. We can thus impressively demonstrate two
very important competences for further international expansion. And last
but not least, we have established ourselves as a reliable partner in the
British market, where we intend to implement further projects in 2013 and
2014'.
Largest photovoltaic system in the UK
The large-scale photovoltaic power plant, with a total output of 33 MWp was
constructed within only three months on the former base of the Royal Air
Force in Wymeswold, Leicestershire, around 190 km north-west of London
after careful preliminary planning by S.A.G. Solar UK Ltd., a wholly owned
subsidiary of S.A.G. Solarstrom AG, and connected to grid on schedule on
March 31, 2013. The photovoltaic system, which is currently the largest in
the UK, can produce around 30,650 MWh of electricity annually and thus
supply the equivalent of over 8,000 four-person households with
electricity. High-quality components were used - polycrystalline modules
from Trina Solar and inverters from LTi - to ensure the electricity yield
in the long-term for the entire term. A long-term contract was concluded
with an international energy company. The S.A.G. Solarstrom Group continued
to manage technical operation of the system after the sale.
European photovoltaic market continues to remain under strong pressure
Although the photovoltaic market in the UK recorded, as one of the few
markets in Europe, considerable growth in 2013, the effects for market
participants can also be felt here. 'As expected, the system functions
superbly and is generating the forecast revenue. Nevertheless, the
insurances for warranties that were previously customary on the market are
no longer available. Due to the large number of insolvencies on the market,
cash deposits for any warranties that might arise are required. This is
putting a brake on our project business, as we cannot use these
appropriations, which usually become free only after at least two years, to
finance new projects', explains Dr. Kuhlmann. 'However, we are already
holding discussions with appropriate partners regarding solutions to reduce
the portion of funds committed by large-scale projects. This does not
impact our plans for 2013, but we also want to implement the important
measures for our project business in 2014'.
About S.A.G. Solarstrom AG
S.A.G. Solarstrom AG (German security identification number: 702 100, ISIN:
DE0007021008) of Freiburg i.Br., Germany, is a manufacturer-independent
provider of photovoltaic plants configured to customers' individual needs.
The Group constructs plants of all sizes both in Germany and abroad. S.A.G.
Solarstrom AG also produces solar energy at its own plants.
S.A.G. Solarstrom AG's service portfolio covers the entire life cycle of
photovoltaic plants, including forecast and energy services, yield reports,
and remote service and maintenance, as well as insurance and financing. The
Group thus offers a comprehensive value chain in photovoltaics, from yield
reports, planning, construction, operations, and monitoring to
optimization, repowering, and deconstruction.
S.A.G. Solarstrom AG was founded in 1998. Around 200 specialists work at
the four locations in Germany and the foreign subsidiaries.
S.A.G. Solarstrom AG is listed in the Prime Standard of the Frankfurt Stock
Exchange as well as according to the rules and standards M:access of the
Munich Stock Exchange.
Further information: www.solarstromag.com
Contact:
S.A.G. Solarstrom AG
Sasbacher StraÃe 5
79111 Freiburg
Germany
www.solarstromag.com
Public Relations / Investor Relations
Jutta Lorberg
phone: +49-(0)761-4770-311
e-mail: pr@solarstromag.com / ir@solarstromag.com
End of Corporate News
---------------------------------------------------------------------
11.11.2013 Dissemination of a Corporate News, transmitted by DGAP - a
company of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------
Language: English
Company: S.A.G. Solarstrom AG
Sasbacher Str. 5
79111 Freiburg
Germany
Phone: + 49 761 4770 0
Fax: + 49 761 4770 555
E-mail: mail@solarstromag.com
Internet: www.solarstromag.com
ISIN: DE0007021008, DE000A1E84A4, DE000A1K0K53,
WKN: 702100, A1E84A, A1K0K5
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Düsseldorf, Hamburg, München
(m:access), Stuttgart
End of News DGAP News-Service
---------------------------------------------------------------------
239047 11.11.2013
DGAP-News: S.A.G. Solarstrom AG: Sale of 33 MWp Wymeswold system completed
| Source: EQS Group AG