News Article
PowerSecure secures Solaris LEDs lighting acquisition
The acquisition strengthens and complements PowerSecure’s existing LED business with additional product lines
PowerSecure International has acquired Solairs Lighting, Inc.
Solaris is a private company based in Stamford, CT which has a proprietary portfolio of LED lamps and fixtures for commercial and industrial applications. The firm provides products with excellent light output, thermal management, optics, light quality and aesthetics.
The acquisition strengthens and complements PowerSecure’s existing LED business with additional product lines and an expanded customer base, and adds strong skill sets around product design, product commercialisation, manufacturing and materials sourcing.
PowerSecure paid the stockholders of Solaris $6.5 million in cash plus 675,160 shares of PowerSecure common stock and assumed approximately $0.2 million in negative working capital for a total transaction value of $15 million.
The PowerSecure shares were valued at their volume-weighted average closing sale price (VWAP) as reported on the Nasdaq Global Select Market over the five business days immediately preceding the closing date of April 12, 2013, or $12.22 per share. All outstanding shares of capital stock of Solais were exchanged for the merger consideration.
“The expertise Solais has demonstrated in developing best-in-class innovative technology in parallel with some of the most effective sourcing, procurement and manufacturing in the industry will provide us with catalysts to accelerate the growth and profitability of our LED lighting business,” said Sidney Hinton, chief executive officer of PowerSecure.
“James and the accomplished Solais leadership team bring additional strength to PowerSecure and experience with distributor channel relationships that add to our new ESCO product channel and broaden our product offerings to our direct customers and utility partners,” Hinton adds.
PowerSecure expects the transaction to be slightly accretive to revenues in 2013 (subject to finalisation of accounting related to the amortisation of intangible assets) and meaningfully accretive in subsequent years.
“There is tremendous synergy between our companies. With this merger, we combine the breadth, strength, innovation and success of PowerSecure with the business of Solais to accelerate our growth in the marketplace and better serve our clients. In addition, we can apply our efficient manufacturing expertise and proprietary technologies to enhance the value of PowerSecure’s overall LED lighting portfolio,” says James Leahy, chief executive officer of Solaris.
Solaris is a private company based in Stamford, CT which has a proprietary portfolio of LED lamps and fixtures for commercial and industrial applications. The firm provides products with excellent light output, thermal management, optics, light quality and aesthetics.
The acquisition strengthens and complements PowerSecure’s existing LED business with additional product lines and an expanded customer base, and adds strong skill sets around product design, product commercialisation, manufacturing and materials sourcing.
PowerSecure paid the stockholders of Solaris $6.5 million in cash plus 675,160 shares of PowerSecure common stock and assumed approximately $0.2 million in negative working capital for a total transaction value of $15 million.
The PowerSecure shares were valued at their volume-weighted average closing sale price (VWAP) as reported on the Nasdaq Global Select Market over the five business days immediately preceding the closing date of April 12, 2013, or $12.22 per share. All outstanding shares of capital stock of Solais were exchanged for the merger consideration.
“The expertise Solais has demonstrated in developing best-in-class innovative technology in parallel with some of the most effective sourcing, procurement and manufacturing in the industry will provide us with catalysts to accelerate the growth and profitability of our LED lighting business,” said Sidney Hinton, chief executive officer of PowerSecure.
“James and the accomplished Solais leadership team bring additional strength to PowerSecure and experience with distributor channel relationships that add to our new ESCO product channel and broaden our product offerings to our direct customers and utility partners,” Hinton adds.
PowerSecure expects the transaction to be slightly accretive to revenues in 2013 (subject to finalisation of accounting related to the amortisation of intangible assets) and meaningfully accretive in subsequent years.
“There is tremendous synergy between our companies. With this merger, we combine the breadth, strength, innovation and success of PowerSecure with the business of Solais to accelerate our growth in the marketplace and better serve our clients. In addition, we can apply our efficient manufacturing expertise and proprietary technologies to enhance the value of PowerSecure’s overall LED lighting portfolio,” says James Leahy, chief executive officer of Solaris.
