VANCOUVER, Canada | Finavera Wind Energy Inc —
Finavera has closed the previously announced acquisition of Solar Alliance of America (“Solar Alliance”). Under the terms of the Share Purchase Agreement (the “Agreement”), Finavera has acquired 100% of the equity in Solar Alliance for 11,915,238 shares of the Company and contingent payments of up to $4 million USD in cash comprised of up to four instalments of $1 million USD.
The cash payments are staged and contingent upon Solar Alliance meeting quarterly EBITDA targets.
“This transaction marks a pivotal milestone for the Company and our shareholders,” said Finavera CEO Jason Bak.
“The residential solar market in America is growing at an incredible pace and with less than 1% of U.S. residential homes having installed solar systems, Solar Alliance is perfectly positioned to capitalize on that growth. We will be aggressively expanding the Solar Alliance brand throughout California in order to create a powerful player in the U.S. residential rooftop solar market.”
The Company is immediately implementing a strategic marketing initiative in order to grow Solar Alliance sales, maximize profits from sales and expand into new markets. This initiative will be carried out in conjunction with an enhanced investor relations campaign designed to grow awareness of the Solar Alliance brand, business model and opportunities for investment. The Company believes the current revenue of Solar Alliance, combined with new growth and a strong investor appetite for publicly traded solar companies, will deliver a significant increase in value for Finavera shareholders moving forward.
Concurrent with the close of the transaction, and in order to more accurately reflect the Company’s core business interest, Finavera Wind Energy will change its name to Finavera Solar Energy Inc. The Company’s symbol, FVR, will remain the same.
The Company has received final approval for the acquisition from the TSX Venture Exchange.