Apr 16 2013
PowerSecure International, Inc. today announced that it has acquired Solais Lighting, Inc., a private company based in Stamford, CT which has a proprietary portfolio of LED lamps and fixtures for commercial and industrial applications that provide superior 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 commercialization, manufacturing and materials sourcing.
PowerSecure paid the stockholders of Solais $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 added.
PowerSecure expects the transaction to be slightly accretive to revenues and earnings in 2013 (subject to finalization of accounting related to the amortization 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,” said James Leahy, chief executive officer of Solais.
Conference Call
PowerSecure International, Inc. (Nasdaq: POWR) will host a conference call on Monday, April 15, 2013 at 8:30 a.m. ET to discuss the company’s acquisition of Solais Lighting, Inc.
To access the live webcast, please log on to the investor section of the company's website at http://www.powersecure.com.
Analysts and institutional investors can also access the call by dialing 888-679-8018 (or 617-213-4845 if dialing internationally) and providing passcode 38138943. If you are unable to participate during the live webcast, a replay of the conference call will be available approximately two hours after the completion of the call through midnight on April 29, 2013. To listen to the replay, dial 888-286-8010 (or 617-801-6888 if dialing internationally), and enter passcode 23703878. In addition, the webcast will be archived on the company's website.
Source: http://www.powersecure.com/