CBD Energy Limited (NASDAQ: CBDE), a diversified clean energy company and leading global provider of solar systems, has entered into an agreement with Environmental Engineering Group Thailand (EEG) to acquire 30 percent of the company.
As part of the transaction CBD intends to grant EEG a sub-license to utilize the Westinghouse Solar brand in Thailand. The company has developed a unique market position with an attractive model for commercial solar rooftops which is supported by a partnering agreement with the Government owned Provincial Electricity Authority’s renewable energy subsidiary PEA ENCOM.
This transaction will ensure that CBDE participates in EEG’s extensive project pipeline of over 100 megawatts with the potential for significant and rapid growth. This pipeline is in addition to an agreement, announced August 1, with Environmental Engineering Group Thailand (EEG) to participate in the construction of 64MW of solar projects with a projected development cost of approximately $112 million. The projects are supported by 25-year power purchase agreements.
CBDE acquired the exclusive worldwide license to market its residential and commercial solar under the Westinghouse Solar name. The company believes the branding value of the Westinghouse name, backed by its 20 year warranty on systems the company installs, may enable it to rapidly develop new markets and new customers. As part of the transaction between the two companies, CBDE intends to grant EEG a sub-license to trade under the Westinghouse Solar brand.
CBD Energy Executive Chairman Gerry McGowan said that geographic diversification is one of CBDE’s core strategies for achieving growth and predictable cash flows. “We feel Thailand represents an incredible opportunity to capitalize on a rapidly developing market with growing power needs, and blends well with projects we have under development in North America, Europe, UK and Australia.”
About CBD Energy Limited (NASDAQ: CBDE)
Established in 1989, CBD Energy Limited is a diversified renewable energy company and a global leader in solar installations. Powered by a management team with deep experience in the energy sector and strong engineering capabilities, CBDE is focused on the integration of residential solar, commercial and industrial solar, small utility scale solar and wind projects, in three principal markets – Australia, the United Kingdom and the United States. CBDE markets its residential and commercial solar installations under the name Westinghouse Solar, using the WESTINGHOUSE® trademark pursuant to an exclusive, long-term worldwide license.
Headquartered in Sydney, with principal regional offices in London and New York, CBDE has completed projects across four continents in Australia, Fiji, Germany, Italy, New Zealand, Thailand, the United Kingdom and the United States, CBDE has installed more than 17,000 residential systems and developed large renewable energy projects such as the 107MW wind farm in Taralga, NSW