ROSEVILLE, Calif.--(BUSINESS WIRE)--SPI Solar (“SPI”) (SOPW:OTCBB), a vertically-integrated photovoltaic solar developer, today announced it has entered into an agreement to acquire certain assets relating to current SPI solar PV projects in Hawaii. Under the terms of the agreement, SPI will acquire Hawaiian Power, LLC’s (“HPL’s”) equity interests and debt related to an SPI and HPL joint venture to develop and operate solar PV projects in Hawaii. As a result of the transaction, SPI will own a 100% interest in an entity that currently has approximately 15.0 megawatts (“MW”) under development in Hawaii. The aggregate purchase price for the assets is $3.95 million consisting of 3,000,000 SPI Solar shares of common stock valued at $1.15 per share, subject to adjustment, and $0.5 million in cash, with closing expected in September 2014.
Separately, SPI also announced that it has commenced providing engineering, procurement and construction (“EPC”) services on the first MW of a series of projects on Maui, Hawaii. SPI’s provision of EPC services on these projects, which comprise four 0.25 MW projects on Maui, together total approximately 1 MW of nameplate capacity. The estimated completion date for these projects is December 2014.
In addition, SPI has also acquired the development rights to an additional 2.5 MW of projects near Kona, Hawaii. As noted above, with SPI’s approximately 15 MWs under current development in Hawaii and, with this investment, SPI’s total solar project interests in the Hawaii PV market will now comprise approximately 17.5 MW, all of which are expected to be completed throughout the remainder of 2014 and 2015.
“This announcement underscores SPI’s commitment to growing our presence in the important US solar market,” said Xiaofeng Peng, Chairman of SPI. “Hawaii, in particular, is among the country’s most attractive markets for PV investment, and we are confident these developments will result in meaningful returns for SPI.”
About Solar Power, Inc. (SOPW:OTCBB):
SPI Solar (“SPI”) (Solar Power, Inc.) is a vertically-integrated photovoltaic solar developer offering its own brand of high-quality, low-cost distributed generation and utility-scale solar energy facility development services. From project development, to project financing and to post-construction asset management, SPI delivers turnkey world-class photovoltaic solar energy facilities and turnkey residential solar solutions to its business, government and utility customers. For additional information visit: www.spisolar.com.
Safe Harbor Statement:
This release may contain certain “forward-looking statements” relating to the business of SPI Solar, its subsidiaries and the solar industry, which can be identified by the use of forward-looking terminology such as “believes", “expects” or similar expressions. These statements involve known and unknown risks and uncertainties. Such forward-looking statements include, but are limited to, that SPI will complete its acquisition of assets from HPL, and that SPI’s EPC project on Maui and PV project on Hawaii will be completed in a timely manner or at all. All forward-looking statements are expressly qualified in their entirety by this cautionary statement and the risks and other factors detailed in the company's reports filed with the Securities and Exchange Commission. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities law.