Carnegie Wave Energy Limited has announced that it has acquired 100% of battery and solar engineering company Energy Made Clean, subject to formal agreements and shareholder approval.
This acquisition will make Carnegie the only ASX-listed company with a dedicated renewable energy microgrid project delivery capability. The agreement will see Carnegie invest AUD2.6 million (US$2 milllion) in staged cash and AUD10.4 million (US$7.9 million) in Carnegie shares to take the remaining 65% per cent stake in EMC, adding to the 35% stake it currently owns.
EMC, with its track record of projects, is a specialist in the design, construction and operation of microgrids, commercial scale solar projects and energy storage systems.
Carnegie Managing Director, Dr Michael Ottaviano said:
EMC, who turned over $16 million in revenues in the 2016 financial year, has a demonstrated capability of delivering innovative commercial-scale solar and microgrid projects in Western Australia. We’ve been extremely impressed with EMC’s capability to deliver unique, pioneering microgrid systems to blue-chip clients such as Western Power, Synergy, Horizon Power, Water Corporation and the Australian Department of Defence."
“The potential for the global microgrid market is estimated at US$40 billion by 2020. This acquisition unlocks Carnegie’s ability to deliver a unique, in-house capability to capitalise on a rapidly growing segment of the renewable energy market globally. “Microgrids are increasingly a major part of the renewable energy market as they can deliver cost competitive, clean power and energy security. It is the right time to seize this opportunity.”
EMC’s Managing Director, John Davidson said:
“Over the past few years, EMC has grown from an innovative start up to delivering major contracts to local utilities, developing a unique capability that can be applied across Australia and globally. With Carnegie we will be able to grow larger, more quickly and capture this enormous market opportunity.”