Snow ball indeed.
COMPANIES UK: Solar Integrated on top of making Aim debut
By David Blackwell
Financial Times; Apr 27, 2004
A company that has covered the roof of a Los Angeles Coca-Cola bottling plant with solar cells is to float on Aim.
Solar Integrated Technologies was founded by two American commercial roofing specialists and only started production of its flexible solar cell roofing material last July. But it already has orders worth $74m (£41.8m) and is in talks with several potential multinational customers including Ikea, Wal-Mart and C&A.
Bruce Khouri, one of the founders, said yesterday that the Coca-Cola plant's roof was capable of generating 329 kilowatts, enough to provide 30 per cent of the power needs at peak demand. "It not only produces electricity, but it will keep the water out for 30 years."
Mr Khouri and Edward Stevenson are joint owners of a Los Angeles commercial roofing operation. They have invested $10m in a production plant in the city for their photovoltaic roofing.
The plant puts together vinyl roofing and flexible solar panels sourced elsewhere in the US, and bonded with special adhesives. They are planning a sub-assembly plant in east Germany to supply the European market.
The company, advised by Peel Hunt, is to raise slightly less than £11m on Aim through a placing. The proceeds will be used to expand the capacity of the Los Angeles plant, to build the German sub-plant, and for working capital. After flotation Messrs Khouri and Stevenson will each hold 38 per cent of the total equity, which is expected to have a market valuation of $100m.
"Our target market is commercial roof space," said Mr Khouri. "Large companies do not have a photovoltaic budget - but they do have a budget for roofing their buildings. We are taking their capital expenditure and turning it into a revenue-generating asset."
The company last year generated pre-tax profits of $131,000 on sales of $8.3m after six months of operations.
EMAIL THIS PRINT THIS MOST POPULAR |
