Advanced Soltech’s subsidiary in China, ASRE, has signed an order with Anhui ShunFu Auto parts Technology Co Ltd. The order concerns the installation of a solar energy plant of 0.9 megawatts (MW) and is estimated to generate annual revenues of SEK 0.75 million, or SEK 15 million during the agreement’s 20-year term. The investment in the facility, which will be owned by ASRE, amounts SEK 5.05 million and construction is scheduled to start in the fourth quarter of 2020.
Advanced Soltechs CEO Max Metelius comments:
- We are very pleased to see a strong demand for green energy solutions in China, which gives a good inflow of new projects with good profitability to ASAB
About the China venture
In China ASAB operates through, its wholly owned local subsidiaries Advanced Soltech Renewable Energy (Hangzhou) Co. Ltd, ASRE and Longrui Solar Energy (Suqian) Co. Ltd. The business model consists of financing, installing, owning and managing solar energy installations on customers’ roofs in China. The customer does not pay for the plant, but instead undertakes to buy the electricity that the plant produces under a 20-year agreement. Current income comes from the sale of electricity to customers and from subsidies. The goal is to have an installed capacity of 1,000 megawatts (MW) by 2023, which is fully connected to the electricity grid by 2024. ASAB is 51% owned by Soltech Energy Sweden AB (publ) and 49% by Soltech’s Chinese partner, Advanced Solar Power Hangzhou Inc.
Om Verksamheten i Kina
Advanced Soltech's subsidiary in China, ASRE, has signed an order with Wuhu Rongchuan Mechanical & Electrical Technology Co. The order concerns the installation of a solar energy plant of 1.7 megawatts (MW) and is estimated to generate annual revenues of SEK 1.37 million, or SEK 27.4 million during the agreement's 20-year term. The investment in the facility, which will be owned by ASRE, amounts SEK 9.42 million and construction is scheduled to start in the fourth quarter of 2020.
Advanced Soltechs CEO Max Metelius comments:
– Our team in China continues to sign orders with new customers. This project is carried out completely without any subsidies and shows a profitability well within our goals.
About the China venture
In China ASAB operates through, its wholly owned local subsidiaries Advanced Soltech Renewable Energy (Hangzhou) Co. Ltd, ASRE and Longrui Solar Energy (Suqian) Co. Ltd. The business model consists of financing, installing, owning and managing solar energy installations on customers' roofs in China. The customer does not pay for the plant, but instead undertakes to buy the electricity that the plant produces under a 20-year agreement. Current income comes from the sale of electricity to customers and from subsidies. The goal is to have an installed capacity of 1,000 megawatts (MW) by 2023, which is fully connected to the electricity grid by 2024. ASAB is 51% owned by Soltech Energy Sweden AB (publ) and 49% by Soltech's Chinese partner, Advanced Solar Power Hangzhou Inc.
Soltech Energy Sweden AB's (publ) new share issue with preferential rights for shareholders has been completed. The rights issue was oversubscribed by 590 percent. In total, shares were subscribed for for more than SEK 676 million, which is why Soltech has decided to also carry out a directed Over-allotment Issue. Soltech will thus receive a total of just over SEK 144 million before issue costs.
CEO Stefan Ölander in a comment:
– We are humbly grateful for the trust existing and new shareholders have shown us in this new share issue. We now have the funds we need to exploit the potential of the rapidly growing market and to continue our successful acquisition strategy.
Number of shares and Over-allotment
A total of 7,759,307 shares were subscribed for with the support of subscription rights, corresponding to approximately 95 percent of the Rights Issue, and 48,607,379 shares without the support of subscription rights, corresponding to approximately 595 percent of the Rights Issue. The rights issue was thus oversubscribed by 590 percent.
To enable allotment to those stakeholders who have not been allotted in the Rights Issue and for the purpose of broadening and strengthening the Company's ownership base, the Board has decided to issue an additional 3,840,000 shares in an Over – allotment issue. This is done at a subscription price of SEK 12 per share, which gives approximately SEK 46 million, and on the terms stated in the prospectus regarding the Rights Issue, which gives approximately SEK 98 million.
Through the Rights Issue and the Over-allotment Issue, a total of 12,012,423 shares will be issued and the Company will thus receive SEK 144,149,076 million before issue costs.
Allocation in the Rights Issue
The persons who have subscribed for shares on the basis of subscription rights have been allotted BTA in connection with simultaneous payment. Notice of allotment to the persons who have subscribed for shares without the support of subscription rights is expected to be distributed on 10 September 2020 by sending a settlement note. Allocation to the persons who have subscribed for shares via the nominee is expected to be visible in the account around 15 September 2020. Nominee-registered shareholders will be notified of the allotment in accordance with the respective nominee's routines. Subscribed and allotted shares must be paid for in cash no later than the settlement date, 15 September 2020, in accordance with the instructions on the settlement note. Only those who receive an award will be notified.
Allocation in the Over-Allocation Issue
Notice of allotment to the persons who have subscribed for shares without the support of subscription rights is expected to be distributed on 10 September 2020 by sending a settlement note.
Three groups of investors will be allotted shares in the Over-allotment Issue:
The Board has decided to give a large number of new owners the opportunity to participate in the over-allotment issue with a small investment to further broaden the shareholder base in the Company.
In order to open up a new circle of owners of professional investors, the Board has also decided to give investors who have shown special interest in Soltech, and who are judged to be able to contribute strategically to the Company's development, a certain opportunity to participate in the allotment issue.
Finally, it has been decided that key personnel within all ten of the Soltech Group will be given the opportunity to participate in the over-allotment issue in order to create loyalty, long-term perspective and commitment.
Share capital and number of shares
Following the registration of the Rights Issue and the Over-allotment Issue with the Swedish Companies Registration Office, the Company's share capital will increase by SEK 600,621 to a total of SEK 3,460,969. The number of shares in the Company will thereafter increase by an additional 12,012,423 shares to a total of 69,219,387 shares.
Paid subscribed shares, BTA
Subscription of shares with and without preferential rights took place during the period 24/8 – 7/9 2020. As soon as the share capital increase has been registered with the Swedish Companies Registration Office, paid subscribed shares (BTA) in the rights issue will be converted into new shares. Until then, trading with BTA on the Nasdaq First North Growth Market. Trading in new shares is expected to begin on Nasdaq First North Growth Market around week 41 2020. The persons allotted shares in the directed Over-allotment Issue will not receive BTA but will instead be allotted shares after the share capital increase has been registered with the Swedish Companies Registration Office. This is expected to take place around week 40 2020.
The purpose of the intended raising of capital before the planned listing is to be able to take advantage of the good business opportunities that the company now has in China. The new capital is intended to be invested in roof-based solar energy plants.
Advanced Soltech's CEO, Max Metelius comments:
China continues to recover from the Corona pandemic and we see strong demand for our offering with many business opportunities as a result. We have several large projects with good profitability in our pipeline and in order not to lose momentum on our growth journey, we now want to investigate the possibility of raising capital in the form of a preference share issue, which also strengthens the company's equity.
For more information contact:
Max Metelius, CEO Advanced Soltech Sweden AB (publ) Tel: 072- 316 04 44. Email: max.metelius@advancedsoltech.com
About the Operations in China
The operations in China are conducted in Advanced SolTech Renewable Energy (Hangzhou) Co. Ltd, ASRE, its wholly owned local subsidiaries and in Longrui Solar Energy (Suqian) Co. Ltd. The business model consists of financing, installing, owning and managing solar energy installations on customers' roofs in China. The customer does not pay for the plant, but instead undertakes to buy the electricity that the plant produces under a 20-year agreement. Current income comes from the sale of electricity to customers and from various forms of subsidies per kilowatt hour (kWh) of solar produced. The goal is to have an installed capacity of 1,000 megawatts (MW) by 2023, which is fully connected to the electricity grid by 2024.
ASRE and Longrui Solar Energy (Suqian) Co. Ltd. are wholly owned subsidiaries of Advanced Soltech Sweden AB (publ). ASAB is 51% owned by Soltech Energy Sweden AB (publ) and 49% by Soltech's Chinese partner, Advanced Solar Power Hangzhou Inc.
Soltech Energy Sweden AB (publ) and PowerCell Sweden AB (publ) have signed a Nordic co-operation agreement to develop solutions for customers that include both the Soltech Group’s products and PowerCell’s products. The first joint customer is Swede Energy’s customer Amokabel AB in Alstermo, which has problems with the grid owner not being able to deliver more power from the electricity grid. The collaboration goes hand in hand with PowerCell’s increased focus on its stationary systems, where Soltech is chosen as a partner in solar energy.
The purpose of the collaboration agreement is for Soltech and PowerCell to develop and participate in projects where the companies’ technology and expertise in desktop applications are utilized. Soltech may integrate PowerCell products as part of Soltech’s energy storage products and also has the right to market and sell such Soltech products in the Nordic countries.
Like many other growing companies, Amokabel has major problems with not gaining access to the power they need from the electricity grid to be able to grow the business. The company therefore needs to find alternative ways of securing the power supply for its operations that will be needed in the near future. Amokabel has now commissioned Soltech’s subsidiary Swede Energy and PowerCell to investigate whether solar energy combined with fuel cells with hydrogen production and storage can be part of the solution. Parameters that are to be investigated include what a system solution can look like to meet both future power needs and how to use the system for power control and to provide the company with uninterrupted power. Amokabel has also ordered an 800kWp solar cell plant from Swede Energy, whose electricity production is intended to be used for hydrogen production, among other things.
Soltech’s CEO Stefan Ölander comments:
“This collaboration agreement with PowerCell and the agreement with Amokabel is a major breakthrough to help all companies and the public sector with the major problem of power shortages in the network. The business opportunities are very large and we are happy and proud that PowerCell chooses our group as a partner ”.
PowerCell Sweden’s sales director Andreas Bodén comments:
“The growing need for energy and, above all, sustainable energy, makes the combination of solar energy and fuel cells extremely interesting. We therefore see great opportunities for stationary power generation based on locally produced and stored hydrogen in combination with fuel cells. ”
Examples of deals taken or agreements taken are the following:
Swede Energy has signed a framework agreement with Bergendahl Food, which consists of supplying warehouse properties and City Gross stores with green electricity from solar cells. This is part of City Gross' sustainability work. During the autumn of 2020, we will, together with the property owners, evaluate which properties are most suitable for installing solar energy. The photovoltaic systems are estimated to be 255 kWh and produce approximately 220,000 kWh per store and year.
In addition to this, for example, repeat customers such as Castellum, Catena, HSB, Willhem and Bostadsaktiebolaget Vätterhem have bought photovoltaic systems. The AMO Group and the Church of Sweden are new customers who will be welcomed by Swede Energy during the first half of 2020.
Soltech's CEO, Stefan Ölander in a comment:
– Swede Energy's success continues at a rapid pace. These deals and agreements are proof of our group's ability to do big business even though we are in the middle of the Covid-19 pandemic.
For more information contact:
Stefan Ölander, CEO Soltech Energy Sweden AB (publ) Tel: 070-739 80 00. Email: stefan.olander@soltechenergy.com
The information in this press release is such that Soltech Energy Sweden AB (publ) must publish in accordance with EU regulation no. 596/2014 on market abuse. The information was provided by the above contact person for publication on 15 July 2020 at 10.15 CET.
About Soltech Energy Sweden AB (publ)
Soltech is a complete supplier that develops, sells, installs and optimizes solar energy solutions for our customers' needs. The group includes the subsidiaries Advanced Soltech Sweden AB (publ) where the Chinese investment is conducted, Soltech Sales & Support, NP-Gruppen, Swede Energy Power Solutions, Merasol, Soldags, Takorama and Fasadsystem. Soltech Energy Sweden AB (publ), is traded on the Nasdaq First North Growth Market under the short name SOLT and has approximately 34,000 shareholders. The company's Certified Adviser is Erik Penser Bank. Phone: 08-463 83 00. Email: certifiedadviser@penser.se. For more information see: www.soltechenergy.com
The agreement is expected to be fully extended and without contributions from either the provincial or central government will generate annual revenue of just over SEK 31 million. This corresponds to an annual return on invested capital of about 15%, which again shows that ASAB / ASRE does not depend on contributions to achieve good profitability.
In connection with the conclusion of the agreement, it was decided that ASRE will build 6 MW during 2020. The plants are expected to produce approximately 1.1 kWh per installed watt and year and are wholly owned by ASRE. The customer undertakes, for 20 years for each plant, to purchase the electricity produced.
Soltech Energy ́s CEO, Stefan Ölander in a comment:
- We are very pleased that the market in China is again open to large business after the worst period of the Corona pandemic. In the spring of 2019, we signed a cooperation agreement in another city and with another local government, the Jiangsu Province, of 500 MW of solar energy capacity. This is our second agreement in the province where we now consolidate our position. In addition to the new agreement, we have connected additional capacity to the grid and have now passed 140 MW of installed and revenue-generating capacity and have another 7.5 MW of new solar energy capacity under construction.
For more information contact:
Stefan Ölander, CEO Soltech Energy Sweden AB (publ) Tel: 070-739 80 00. E-mail: stefan.olander@soltechenergy.com
The information in this press release is such that Soltech Energy Sweden AB (publ) is to publish in accordance with EU Regulation No 596/2014 on market abuse. The information was provided through the above contact person's publication for publication on June 5, 2020 at. 07:30 CET.
About Soltech Energy Sweden AB (publ)
Soltech Energy is a comprehensive supplier that develops, sells, installs and optimizes solar energy solutions for our customers' needs. The group includes the subsidiaries Advanced Soltech Sweden AB (publ) where the Chinese venture is conducted, Soltech Sales & Support, NP-Group, Swede Energy Power Solutions, Merasol, Soldags, Takorama and Fasadsystem. Soltech Energy Sweden AB (publ), is traded on the Nasdaq First North Growth Market under the short name SOLT and has approximately 33,000 shareholders. The company's Certified Adviser is Erik Penser Bank. Phone: 08-463 83 00. Email: certifiedadviser@penser.se. For more information see: www.soltechenergy.com
Advanced SolTech Sweden AB (publ) – ASAB
In order to continuously finance investments in China, the Soltech Group's parent company and its partner in China, Advanced Solar Power Hangzhou Inc., formed ASAB. ASAB's operations consist of financing solar energy facilities in China that are owned and continuously maintained by ASRE, ASRE SUQIAN and / or its wholly owned local subsidiaries through lending and / or through direct investments in group companies. As collateral for borrowed funds, collateral is obtained in underlying assets (solar power plants and accounts receivable). The Company's Certified Adviser is FNCA, Tel: 08-528 00 399 Email: info@fnca.se More info at www.advancedsoltech.com
About the China venture
Soltech Energy's investment in China is conducted in Advanced SolTech Renewable Energy (Hangzhou) Co. Ltd., ASRE, its wholly owned local subsidiaries and Longrui Solar Energy (Suqian) Co. Ltd. The business model consists of financing, installing, owning and managing solar energy installations on customers' roofs in China. The customer does not pay for the plant, but instead commits to purchase the electricity that the plant produces during a 20- year agreement. Ongoing revenue comes from sales of electricity to customers and from various forms of grants per produced kilowatt hour (kWh) of solar energy. The goal is to have an installed capacity of 1,000 megawatts (MW) fully connected to the electricity grid in 2024 by 2023.
ASRE and Longrui Solar Energy (Suqian) Co. Ltd. are wholly owned subsidiaries of Advanced Soltech Sweden AB (publ). ASAB is 51% owned by Soltech Energy Sweden AB (publ) and 49% by Soltech's Chinese partner, Advanced Solar Power Hangzhou Inc.
At the Swedish pavilion "The Forest", 500 m2 of the roof will be covered by Soltech's product "ShingEl" and 500 m2 of the facade with Soltech's product "Facade". The pavilion is based on the idea of the extensive freedom and wilderness in a forest. With renewable solar energy on roofs and facades, the energy solution is also endless and fits well with the pavilion's concept and the message that Sweden wants to send to the visitors of the Expo. For Soltech, the collaboration means not only exposure but also a positive business value.
– “We need to prepare for a reality where the world, Sweden, and companies are resuming operations and where everyday life is returning to normal after the Corona crisis. It is important to be able to show long-term sustainable solar solutions that are aesthetically pleasing and adapted to modern design and architecture. We are confident that the exposure and attention that our products will receive in Dubai will lead to exciting business opportunities both in Sweden and internationally, says Stefan Ölander, CEO of Soltech Energy
The products "ShingEl" and "Facade" have integrated solar cells with a design that makes the roof and facade both stylish and energy efficient. The possibilities of integrated solar cells are many and it is a market with rapid growth and great needs. The target group for "ShingEl" is both villas and commercial properties. Facade is especially suitable for properties with larger areas such as factory and logistics premises or cool schoolbuildings and sports arenas.
– We are very pleased to have signed an agreement with Soltech as our sponsor for solar energy. Their integrated products will fit well into our futuristic design of the pavilion, says Staffan Schartner, Head of Construction on the Committee for Sweden's Participation
It is with both joy but also a portion of thoughtfulness and careful consideration that the agreement has been signed in these times of Coronavirus. At the same time, it is proof of Soltech's drive and ambitions. Of course, all planning and participation in Expo 2020 in Dubai will continue to follow the guidelines provided. The World Exhibition is postponed and will take place between October 1, 2021 and March 31, 2022. The name Expo 2020 will remain.
For more information contact:
Stefan Ölander, VD Soltech Energy Sweden AB (publ) Tel: 070-739 80 00. E-post: stefan.olander@soltechenergy.com.
About Soltech Energy Sweden AB (publ)
Soltech is a comprehensive supplier that develops, sells, installs and optimizes solar energy solutions for our customers' needs. The group includes the subsidiaries Advanced Soltech Sweden AB (publ) where the Chinese venture is conducted, Soltech Sales & Support, NP-Group, Swede Energy Power Solutions, Merasol, Soldags, Takorama and Fasadsystem. Soltech Energy Sweden AB (publ), is traded on the Nasdaq First North Growth Market under the short name SOLT and has approximately 33,000 shareholders. The company's Certified Adviser is Erik Penser Bank. Phone: 08-463 83 00. Email: certifiedadviser@penser.se. For more information see: www.soltechenergy.com
For ASAB, the increased vacancy means that some of ASAB's customers in China will for a period have lower electricity consumption than usual. ASAB can always sell produced and renewable electricity to the grid according to law in China. The consequence is that a certain part of the electricity produced is sold to the electricity grid instead of directly to the customer, with slightly lower revenue per kWh as a result.
The first quarter of the year corresponds to approximately 18% of the year's revenue, as solar radiation is less during the winter season. This in turn means that the potential loss of income (the difference between selling electricity to the electricity grid instead of directly to the customer) comes during a period when ASAB has a smaller part of the year's revenue.
For more information contact:
Frederic Telander, CEO Advanced Soltech Sweden AB (publ) Tel: 070 – 525 16 03. E-mail: frederic.telander@soltechenergy.com or Stefan Ölander, CEO Soltech Energy Sweden AB (publ) Tel: 070-739 80 00. Email: stefan.olander@soltechenergy.com.
About Soltech Energy Sweden AB (publ)
Soltech Energy is a comprehensive supplier that develops, sells, installs and optimizes solar energy solutions for our customers' needs. The group includes the subsidiaries Advanced Soltech Sweden AB (publ) where the Chinese investment is conducted, Soltech Sales & Support, NP-Gruppen, Swede Energy Power Solutions, Merasol and Soldags. Soltech Energy Sweden AB (publ) is traded on the Nasdaq First North Growth Market under the short name SOLT and has approximately 31,000 shareholders. The company's Certified Adviser is Erik Penser Bank. Phone: 08-463 83 00. Email: certifiedadviser@penser.se. For more information see: www.soltechenergy.com
About the China venture
Soltech Energy's investment in China is conducted in Advanced SolTech Renewable Energy (Hangzhou) Co. Ltd., ASRE, its wholly owned local subsidiaries and Longrui Solar Energy (Suqian) Co. Ltd. The business model consists of financing, installing, owning and managing solar energy installations on customers' roofs in China. The customer does not pay for the solar facility, but instead purchases the electricity that the plant produces during a 20-year agreement. Current revenue comes from the sale of electricity to customers and from various forms of grants per produced kilowatt hour (kWh) of solar electricity. The goal is to have an installed capacity of 1000 megawatts (MW) fully connected to the electricity grid in 2024 by 2023.
ASRE and Longrui Solar Energy (Suqian) Co. Ltd. are wholly owned subsidiaries of Advanced Soltech Sweden AB (publ). ASAB is 51% owned by Soltech Energy Sweden AB (publ) and 49% by Soltech's Chinese partner, Advanced Solar Power Hangzhou Inc.
In connection with this, ASAB has mandated DNB Markets and Nordea to investigate the conditions for ASAB to issue a new bond loan and to arrange meetings with selected bond investors starting on January 15, 2020. Subject to prevailing market conditions, a bond issue, Swedish benchmark size (or equivalent value in EUR), under a bond framework agreement of SEK 2,000 million with floating interest rates will be emitted. The Board of Directors of ASAB reserves the right to decide whether to cancel, suspend or postpone the bond issue in whole or in part. The funds from an issue is intended to be used to repurchase outstanding bonds and to finance ASAB's future growth.
ASAB's new collaboration with DNB Markets and Nordea, together with the previously announced intention to list ASAB's shares on Nasdaq First North Growth Market, is part of the new financing plan for the continued expansion in China where ASAB intends to target a wider circle of institutional investors.
Frederic Telander, CEO ASAB and Stefan Ölander, CEO SolTech Energy comment:
– We have previously communicated a goal to achieve an installed solar capacity equivalent to 1 GW (1000 MW) in 2023, which is fully connected to the electricity grid in 2024. The demand for our offer in China remains very good and we have a strong pipeline of high-quality projects waiting for funding. The investments are made where they have the greatest positive climate impact and with this transaction, we lay the foundation we need for our journey towards the creation of a green energy company in the frontline.
New financial information
In connection with ASAB evaluating the possibility of issuing bonds, new financial information that has not been public previously, is published.
ASAB is in a strong expansion phase and had, as of December 31, 2019, an installed capacity of 139.2 MW in its portfolio of solar power plants with an annual revenue capacity of approximately SEK 161 million and EBITDA of approximately SEK 141 million, given certain assumptions. The company has furthermore prepared combined financial statements for the Group in which ASAB is the parent company for the full year 2017 and 2018 and for the period 1 January 2019 – 30 September 2019
The new financial information is described in more detail in a presentation on the company's website: [LINK].
For more information contact: Frederic Telander, CEO, Advanced Soltech Sweden AB (publ). Tel: 070-525 16 03. E-mail: frederic.telander@soltechenergy.com or Stefan Ölander, CEO SolTech Energy Sweden AB (publ) Tel: 070-739 80 00. E-mail: stefan.olander@soltechenergy.com
The information in this press release is such that Soltech Energy Sweden AB (publ) is to publish in accordance with EU Regulation No 596/2014 on market abuse. The information was provided through the above contact person's publication for publication on January 13, 2020 at. 07:30 CET
Advanced SolTech Sweden AB (publ) – ASAB In order to continuously finance investments in China, the SolTech Group’s parent company and its partner in China, Advanced Solar Power Hangzhou Inc., have formed ASAB. ASAB’s business consists of lending to Group companies to finance solar power plants in China that are owned and managed by ASRE, LSE or its wholly owned local subsidiaries.
The company’s Certified Adviser is FNCA, telephone 08-528 00 399 E-mail: info@fnca.se More info at www.advancedsoltech.com
About Soltech Energy Sweden AB (publ) Soltech Energy is a comprehensive supplier that develops, sells, installs and optimizes solar energy solutions for our customers' needs. The group includes the subsidiaries Advanced Soltech Sweden AB (publ) where the Chinese investment is conducted, Soltech Sales & Support, NP-Gruppen, Swede Energy Power Solutions, Merasol and Soldags. Soltech Energy Sweden AB (publ), is traded on Nasdaq First North Growth Market under the short name SOLT and has approximately 31,000 shareholders. The company's Certified Adviser is Erik Penser Bank. Phone: 08-463 83 00. Email: certifiedadviser@penser.se. For more information see: www.soltechenergy.com
About the China venture Soltech Energy’s investment in China is conducted in Advanced Soltech Renewable Energy (Hangzhou) Co. Ltd., ASRE and Longrui Suqian (LSE). The business model consists of ASRE and LSE financing, installing, owning and managing solar energy installations on customers’ roofs in China. The customer does not pay for the solar facility, but instead commits to purchase the electricity that the plant produces during a 20-year agreement. ASRE’s current revenue comes from the sale of electricity to customers and from various forms of subsidies per produced kilowatt hour (kWh) of solar electricity. The goal is to have an installed capacity of 1000 megawatts (MW) fully connected to the electricity grid in 2024
