Jun 7 2010
Prime Sun Power Inc. (OTCBB/New York: PSPW, Berlin Xetra/Frankfurt: PSD), announced today that it has entered into a Strategic Investment Agreement with Bangkok Solar Power Co., Ltd. (“BSP”), a leading manufacturer of PV solar modules and engineering, procurement, construction, and installation (“EPCI”) contractor to acquire up to 6,639,063 shares of PSP Common Stock at price of €7.73 per share. All shares issued to BSP will be subject to a lock-up period until December 31, 2013.
The purchase price has been valued based on PSP’s current business plan and project pipeline, the projected growth of PSP in the PV industry as a utility-scale project developer, and PSP’s ability to assist BSP to access a substantial share of the European solar market.
PSP and BSP have agreed to work together in a strategic alliance whereby BSP shall be appointed as the General Contractor to perform the EPCI contract for PSP solar power plants for at least 50 Mega Watts Peak per annum until 2013. BSP will purchase the PSP shares in increments of €400,000 upon activation of each megawatt peak of solar power to be covered by the EPCI service agreement. If all of strategic alliance shares are acquired, BSP will own 14.2% of PSP’s issued and outstanding shares of common stock.
“The partnership with BSP is a very important milestone in the company’s expansion plans and strategy to partner with industry leaders to achieve our business plan goals and maintain sustainable growth,” said Olivier de Vergnies, Chief Executive Officer of PSP.
“The investment decision is a major forward step in our strategy to expand our company’s activities and increase the company’s market share in Europe,” said Mr. Podduang Don Kongkamee, Chief Operations Officer of BSP.
Source: http://www.primesunpower.com/