Soltech Energy Sweden AB (publ) has on 21 September acquired 100 percent of the shares in Takab in Jönköping AB (Takab) with entry on 3 October. The company is expected to have a turnover of approximately SEK 120 million in 2022 with good profitability. Takab has around 30 employees who work from the company's headquarter in Jönköping. The acquisition strengthens the Group's competence in roofing contracting and now the plan is to integrate solar energy into Takab's offer. The acquisition is financed entirely from own cash and with newly issued Soltech shares.
Soltech has an extensive acquisition strategy in the solar energy industry, but also in the electrical engineering, roof/sheet metal and facade industries, where the companies after being acquired are transformed when solar energy is added to the product range. Now the group acquires a prominent roofing company in Jönköping.
Takab is a family business that specializes in large, low-sloping flat roofs on large commercial properties such as logistics properties, sport centers and industrial buildings. As part of the Soltrech Group, the company will also start to offer their customers solar energy solutions.
– Takab is a well-run family business that for generations has offered high-quality roofing services and we are very happy that they have chosen to become a part of Soltech. This acquisition strengthens our position in the Jönköping region. Takab has also before worked with different companies within the Soltech Group, a proof that they will fit well into the Soltech family, says Stefan Ölander, CEO of Soltech Energy.
A family business that makes the journey towards the sun
Since the start in 1992, Takab has offered various types of roofing solutions. Everything from small steep roofs to sedum roofs, but with the main business in large flat and low-sloping roofs. It is precisely the expertise around larger roofs on such industrial properties that makes the step to offer solar energy even more natural. The company also operates in the Jönköping region, which is often referred to as one of the country's best locations for logistics properties, which creates a great demand for both large-scale roof contracting and rooftop solar energy installations.
– It is exciting that we are now part of the Soltech group. This will help us meet the growing and increased demand for solar energy and we are very much looking forward to being able to help our customers with both roofing and solar energy installations. As a part of a big solar group, we have all the conditions to take the company and our offer to the next level, says Johan Stark, CEO of Takab in Jönköping.
In an analysis carried out by Analysguiden, they write that Soltech's strong growth is largely a result of establishing a unified group of solar, electric, facade and roof companies that together can offer a complete solar energy offer. To support the explosive growth, Analysguiden believes that the rights issue that is currently being carried out is necessary for the Group to reach its goals for 2024, which is 4.7 billion in turnover with an operating margin of 8–10 percent.
Furthermore, both the financial and strategic importance of Soltech's international acquisitions of 365zon and Sud Renovables are underlined. Acquisitions that are expected to contribute roughly 2 billion in turnover until 2024 with good profitability, as well as establish Soltech in an international environment.
Soltech CEO Stefan Ölander comments on Analysguiden's conclusions.
– The solar energy industry is brighter than ever, and it feels great that Aktiespararna sees our aggressive acquisition strategy and the ongoing rights issue as the keys to coming out as winners in a market that is both growing and consolidating at a high rate. The fact that our acquisition journey is also described as incomparable strengthens us even more in our belief that we are well on our way to building a very strong Group. Now our work continues to capture even bigger market shares to contribute so that more private individuals and companies are being able to produce their own solar electricity, says Stefan Ölander.
The analysis can be read in its entirety here (in Swedish): https://www.aktiespararna.se/analysguiden/nyheter/analys-soltech-energy-explosiv-tillvaxt-och-nodvandig-kassaforstarkning
Soltech company Soltech Energy Solutions has signed an agreement with an energy company in Sweden for a large battery solution (battery park) that will contribute to stabilizing the electricity grid with opitmization and frequency regulation. The order value for the agreement amounts to approximately SEK 15 million.
Soltech Energy Solutions within the Soltech Group focus on product development and installation of advanced energy systems, energy storage and large-scale solar energy solutions such as roof solar cell installations and solar parks. The company has been commissioned to build a battery park for an energy company and this will be one of the first hybrid solutions where a larger solar park energy facility is supplemented with an large scale energy storage battery system.
Rickard Lantz, business development manager at Soltech Energy Solutions, is positive about the agreement which will contribute to balancing and supporting the local electricity grid in the area.
– The share of renewable energy is quickly increasing, which is a very positive development. Therefore it is also important to reduce the power challenge that arises when you convert the electricity system to more renewable and weather-dependent energy production such as solar- and wind power. Therefore, it feels very good that we have signed an agreement to deliver a large-scale battery storage facility that enables our customer to sell frequency services to Svenska kraftnät, something that both stabilizes the electricity grid and generates revenue, says Rickard Lantz, business development manager Soltech Energy Solution
Soltech company Soltech Energy Solutions has signed an agreement with the municipal energy company Varberg Energi for a large battery park in Varberg that will contribute to stabilizing the electricity grid and optimizing the power output. In this project, Soltech Energy Solutions also collaborates with sister company Neabgruppen, which will carry out the electrical installation work. The total investment for the battery park amounts to SEK 100 million.
Soltech Energy Solutions is the Soltech Group's company for product development and installation of advanced energy systems, energy storage and large-scale solar energy solutions. The company has been commissioned to build what will be one of the country's largest battery system facilities for Varberg Energi.
Rickard Lantz, business development manager at Soltech Energy Solutions, tell more about the importance of both being able to offer renewable electricity production through solar energy as a response to the climate challenge and large-scale battery storage that optimizes the power output and offers flexibility services to stabilize the overall central electricity grid.
– Energy storage in the form of batteries becomes an important complement to the overall electricity grid when more and more renewable electricity production is built. This allows us to build even more weather-dependent power, such as wind and solar, which is often a challenge for grid owners because they don't offer the support services that the non-volatile facilities normally offer. With this technology, Varberg Energi can be part of the solution by offering frequency stabilization services to Svenska kraftnät. An increased amount of solar energy is known to be good for the environment, but our tech solutions also contribute with stabilization and frequency regulation so that the electricity grid can handle even more renewable electricity production, says Rickard Lantz, Business Development Manager Soltech Energy Solution.
Large-scale energy storage that supports the electricity grid
To accelerate the expansion of renewable energy types such as solar energy and wind power, which are volatile types of energy, smart and large-scale energy solutions to stabilize the electricity grid are necessary.
Therefore, Varberg Energi's battery park will be connected to the frequency market and sell support services with the aim of stabilizing the electricity grid and optimizing the power output. Energy storage such as this contributes to creating a balance between production and consumption, which becomes increasingly important when the amount of renewable electricity production grows as the electricity demand in society increases.
– It feels great to invest in a large battery system. The energy system of the future needs this type of solution to be able to receive an increasing share of renewable electricity from weather-dependent energy production such as wind and solar. This is completely in line with our positioning towards a more flexible use of the electricity system and we look forward to getting the battery park in place, says Hans Ljungström, Vice President at Varberg Energi.
To meet the increased demand for locally produced solar energy, a long-term electricity trading agreement has been signed between the municipal energy company Nybro Energi and the Soltech company Soltech Energy Solutions. The agreement involves PPA solutions for large-scale solar installations. Håkan Dahlgren, CEO at Nybro Energi and Rickard Lantz, business development manager at Soltech Energy Solutions tell us more about the concept that will contribute to an increased share of solar energy in Nybro municipality.
The power purchase agreement, PPA, is an agreement where an energy operator finance, install, own, and manage, for example, a solar cell installation on a property owner's roof. The property owner does not pay for the solar energy installation and is not responsible for operation or maintenance, but only undertakes to buy the produced solar electricity. Usually on a 20-year contract period.
PPA solutions have been common internationally, mainly in wind power but also for large-scale solar energy. This type of business model is growing in popularity also in Sweden as many property owners appreciate that they do not have to tie up capital to finance the solar facility, but instead get a long-term energy contract with a set price. It is cost efficient and no responsibility for the actual technical solar installation. Nybro Energi, together with Soltech Energy Solutions, will enable more companies in Kalmar County to take advantage of the benefits of the PPA agreement.
Great interest in the county
Nybro Energi has a long history of green energy solutions. The new solar energy collaboration has already resulted in two solar cell installations for CTT Bribo and Eurosteel and another ten projects are underway. Håkan Dahlgren, CEO of Nybro Energi, testifies that the new solar energy cooperation has been very well received by entrepreneurs and that the municipal energy company is experiencing a great interest.
– Our solar cell arrangement is a solution where everyone is a winner. The companies can focus on their core business and at the same time contribute to the green transition. The purpose of the concept is to facilitate business life in Nybro, which is an important part of our mission. We are very much looking forward to helping more companies benefit from the sun's rays without having to own, install or manage the solar system themselves. We take care of that part, says Håkan Dahlgren, CEO of Nybro Energi.
Rickard Lantz, business development manager at Soltech Energy Solutions agrees and talks about the increased interest in this type of solution.
– We clearly notice that more and more property owners in Sweden, and not least in Kalmar County, are starting to open their eyes to smart financing solutions and electricity trading agreements for solar power. It should be easy to acquire solar cells and with a PPA agreement the customer also avoids start-up costs, says Rickard Lantz, business development manager at Soltech Energy Solutions.
This is how the PPA for solar cells works:
1. The customer contacts Nybro Energi and a site visit are made where the conditions for installing a solar cell plant are reviewed.
2. Nybro Energi together with Soltech Energy Solutions produces a proposal. After an approved proposal, the solar energy system is installed on the property's roof. Nybro Energi is the owner of the solar energy system itself.
3. The property owner signs an agreement to buy the electricity the facility produces at a predetermined price. Often the agreements run for 20 years.
4. Nybro Energi is responsible for operation, regulatory compliance, insurance, and maintenance of the solar energy system throughout the contract period.
5. The property owner uses the solar electricity that the facility produces and does not have to think about operation, service maintenance or volatile electricity prices. A PPA agreement also means that the property owner starts saving money from day one as no initial investment costs are added.
The board of Soltech Energy AB (publ) ("Soltech" or the "Company") has, as previously announced, on September 1, 2022, with the support of the authorization of the general meeting, decided to carry out a new issue of approximately SEK 228 million with preferential rights for existing shareholders. The Board of Directors for the Company has therefore drawn up a Prospectus, which has today been approved and registered by the Financial Supervisory Authority, which contains complete conditions for the new issue, as well as information about the Company. The prospectus is published today, September 8, on the Company's website.
The offer in summary:
• Issue amount at full subscription: SEK 228 million, corresponding to 20,757,008 shares, before issue costs
• Over-allotment issue: If there is great interest, the board can decide on an over-allotment of a maximum of SEK 253 million, corresponding to 23,000,000 shares
• Preference: Five (5) existing shares give the right to subscribe for one (1) new share
• Subscription without priority: Yes, with subsidiary rights or via any over-allotment issue
• Issue price: SEK 11 per share (see info below) *
• Last day for trading incl. right to participate was: September 6, 2022
• Record date: 8 September 2022
• Subscription period: 12 September to 26 September 2022
• Trading in subscription rights: 12 September to 21 September 2022
*The subscription price amounts to SEK 11 per share. The subscription rights are obtained free of charge. Brokerage is not charged. The subscription price in the Rights Issue has been priced at a discount to TERP (theoretical share price after the separation of subscription rights) of 32.88% based on the share price at closing on 29 August 2022.
The prospectus is available on Soltech's website (www.soltechenergy.com/emission), Aktieinvest's website (www.aktieinvest.se) and the Financial Supervisory Authority's website (www.fi.se). (In Swedish)
Issuing institution
For further questions regarding subscription, contact your personal bank advisor, your manager or Soltech's contracted issuance institute Aktieinvest FK AB on 08 506 517 95 or emittentservice@aktieinvest.se.
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR TO THE UNITED STATES, AUSTRALIA, JAPAN OR CANADA OR IN ANY OTHER JURISDICTION WHERE DISTRIBUTION OF THIS PRESS RELEASE WOULD BE UNLAWFUL.
In an analysis from Aktiespararna's analysis service Analysguiden, the analysts highlight a clear upside in the Soltech share and believe that the rights issue announced yesterday is an important step to make Soltech's aim to take an even bigger share of the market possible.
Analysguiden also points out that Soltech's objectives are aggressive but entirely possible and that the group is on an incomparable acquisition journey.
Furthermore, they believe that even though the dilution is not insignificant, the rights issue significantly lowers the risk in the share and the issue guarantee is a sign of strength in an otherwise weak market.
The analysis can be read in its entirety here (in Swedish):
https://www.aktiespararna.se/analysguiden/nyheter/analys-soltech-energy-explosiv-tillvaxt-och-nodvandig-kassaforstarkning
The board of Soltech Energy AB (publ) ("Soltech" or the "Company") has on September 1, 2022, with the support of the authorization of the general meeting, decided to carry out a new issue of approximately SEK 228 million with preferential rights for existing shareholders. The rights issue is 100% guaranteed by a consortium composed of Swedbank acting as financial advisor. If there is a lot of interest, the Board has a mandate to decide on another new issue ("Over-allotment issue") of SEK 253 million.
The rights issue intends to finance continued expansion through the acquisition of companies in Sweden, the Netherlands and Spain as well as continued investments in, and development of, existing subsidiaries, which have an organic growth of 35% on average. Soltech's growth was 126% during the second quarter of 2022 compared to the second quarter of 2021. The development of revenues has gone from SEK 53 million in 2018 and this year the aim is set at SEK 1,700 million.
The subscription period is 12 – 26 September 2022 and the subscription price is SEK 11 per share. The subscription price in the Rights Issue has been priced at a discount to TERP (theoretical share price after the separation of subscription rights) of 32.88% based on the share price at closing on August 29, 2022.
Background and motif
The solar industry is undoubtedly one of the fastest growing industries in the world. The public sector, business and private individuals are queuing up to invest in solar energy and charging and storage solutions. The European Commission and a number of countries' governments, including Sweden's, plan to legislate requirements for solar energy on properties. The industry is now consolidating and Soltech will take an even bigger share of the market. We now want to be able to take advantage of more business opportunities by further strengthening us financially.
We choose to approach our shareholders and will allot them all shares in both the rights issue and the possible over-allotment issue. The rights issue is 100% guaranteed by a guarantee consortium composed of Swedbank. This means that if existing shareholders do not fully subscribe to the rights issue, the guarantee consortium will subscribe to the excess part.
Conditions and use of issue proceeds
The terms of the Rights Issue mean that five (5) existing shares give the right to subscribe for one (1) new share at a subscription price of SEK 11 per share. Number of shares issued upon full subscription is 20,757,008.
Of the proceeds from the Rights Issue, which upon full subscription will amount to approximately SEK 228 million, before issue costs, are reserved in order of priority:
50% Business acquisition
40% Investments in subsidiaries
10% Investments in marketing and recruitment
Upon full subscription of the Overallotment Issue, the opportunities for new company acquisitions and investments in existing companies are expanded according to the percentage distribution above.
The board's decision on the Rights issue and, where applicable, the Over-allotment issue is made with the support of issue authorization submitted at the annual general meeting on 12 May 2022.
Rights issue and possible Over-allotment issue in summary
The right to subscribe for new shares shall accrue to the Company's shareholders with preferential rights. Each share held as of the record date on September 8 gives one (1) subscription right (TR). Five (5) TRs are required to subscribe for one (1) new share at the subscription price of SEK 11. Subscription of shares takes place during the period 12 – 26 September 2022. Upon full subscription of the Rights issue, approximately SEK 228 million will be added to the Company before issue costs, which are estimated to amount to approximately SEK 28.5 million.
The last day for trading in the Company's shares, including the right to receive subscription rights in the Rights Issue, is 6/9 2022. Subscriptions for shares with the support of subscription rights must take place by cash payment during the period 12-26/9 2022. Subscriptions for shares without the support of subscription rights must take place on a special registration form during the period 12-26/9 2022. Payment for shares subscribed without the support of subscription rights must be made no later than three banking days after the issuance of the settlement note showing notice of allocation. The board has the right to extend the subscription period and last day for payment.
In the event of a large interest in the Rights Issue, the Board is mandated to decide on an additional new issue ("Over-allotment issue") of a maximum of 23,000,000 shares with a deviation from the shareholders' pre-emptive rights. The price for acquiring shares in the Over-allotment issue is SEK 11 per share and the gross proceeds from this are estimated to amount to approximately SEK 253 million before deduction for issue costs if fully subscribed. The purpose of the Over-allotment issue is to create the conditions for an even faster expansion through further acquisitions and investments in existing companies. The over-allotment issue is conditional on the Rights issue being oversubscribed.
The rights issue amounts to a maximum of 20,757,008 shares. This means that the share capital increases by a maximum of SEK 1,037,850 to a maximum of SEK 6,227,102. The shares issued in connection with the Offer correspond to approximately 17% of the share capital in the Company after the new issue has been completed (provided the Offer is fully subscribed). Shareholders who choose not to participate in the Rights Issue will, upon full subscription, be diluted by approx. 17 percent. Upon full utilization of the Over-allotment Issue, the share capital will increase by a maximum of SEK 1,150,000 to a maximum of SEK 7,377,102.
The over-allotment issue corresponds to a maximum of approximately 16 percent of the Company's total share capital. If both the Rights issue and the Over-allotment issue are used, the share capital will increase by SEK 2,187,850 to a maximum of SEK 7,377,102. The dilution will amount to a maximum of approximately 30 percent calculated as the number of new shares after the new issue divided by the total number of shares after the new issue.
Soltech has received guarantee commitments from a consortium consisting of external investors of approximately SEK 228.3 million, corresponding to 100 percent of the Rights Issue.
Shareholders who choose not to participate in the Rights Issue have the opportunity to compensate for the financial dilution effect by selling their subscription rights. Trading in subscription rights takes place during the period 12-21/9 2022.
Prospectus
The rights issue requires an approved prospectus from the Financial Supervisory Authority. The prospectus, which contains the full terms and conditions for the Rights Issue, as well as information about the Company, is planned to be published on the Company's website on September 8, 2022.
Timetable for the Rights issue and possible Overallotment issue
Last day for trading incl. right to participate 6/9 2022
Record date 8/9 2022
Subscription period 12-26/9 2022
Trading in subscription rights 12-21/9 2022
Board decision on allocation and possibly Over-allotment issue 28/9 2022
Press release on issue outcome 28/9 2022
Notice of allocation and dispatch of settlement notes 28/9 2022
Settlement date for settlement notes 3/10 2022
Issuing institution
For further questions regarding subscription, contact your personal bank advisor, your manager or Soltech's issuance institute Aktieinvest FK AB on 08 506 517 95 or issuerservice@aktieinvest.se
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR TO THE UNITED STATES, AUSTRALIA, JAPAN OR CANADA OR IN ANY OTHER JURISDICTION WHERE DISTRIBUTION OF THIS PRESS RELEASE WOULD BE UNLAWFUL.
On September 1, Soltech Energy Sweden AB (publ) acquired 80 percent of the shares in Kalema E-Mobility AB (Kalema E-Mobility) with entry on the same day. The company has a turnover of approximately SEK 20 million with good profitability and has approximately 15 employees based in Borlänge. The acquisition is Soltech's first within the electric car charging industry and the company have excellence in electric car charging projects for companies and private individuals but also in solar energy services. The acquisition is financed entirely from own cash and with newly issued Soltech shares.
Soltech has an aggressive growth strategy with acquisitions in the solar, roof/sheet, facade and electrical engineering industries. Together, these companies must create synergy effects and be able to offer customers and partners comprehensive solutions and cross-border expertise. Now Kalema E-Mobility will be the Group's first acquisition specializing in the growing industry of electric car charging.
– This acquisition gives us strategic cutting-edge expertise in advanced platform solutions for electric car charging, which will a create major competitive advantages for us. It is a fast-growing company in the heart of Dalarna and the fact that they also offer solar energy services adds further value. I would like to warmly welcome Martin Götesson and his team to Soltech, says Stefan Ölander, CEO of Soltech Energy.
Advanced services in electric car charging are in demand
Kalema E-Mobility offers comprehensive solutions in planning, installation, and operation of large electric car charging stations, associated software for customer management and billing, energy storage and solar energy. The company is based in Borlänge and has had a rapid growth curve. Recently, the company has also been commissioned to planning what will become Sweden's largest private charging station for electrified trucks. As the number of electric cars in Sweden increases, so does the demand for more advanced and large-scale comprehensive solutions in electric car charging for both passenger cars and the transport sector.
– We have big visions of the future, knowing that tomorrow's society will be electrified. Therefore, it feels great that we now belong to the Soltech Group, which will help us to further increase growth and at the same time create even greater benefit for our customers. Solar energy and electric car charging goes hand in hand, and we are very much looking forward to finding cooperation opportunities with our new sister companies, says Martin Götesson, CEO of Kalema E-Mobility.
Takorama is one of Soltech's roofing companies which, through the group's transformation strategy, now also offers solar energy solutions in combination with the core competence. The company has received an assignment from the housing association HSB Uppegård in Stenungsund. The assignment involves both a new roof and a roof-mounted solar cell installation, and the order value for the deal amounts to SEK 8.3 million.
The Ljungskile-based roofing company Takorama has a solid industrial experience and when the company was acquired by the Soltech group in 2020, work began to add solar energy to the existing product and service range. Since the transformation into a solar roof company, the company has carried out a number of solar energy installations and also has its own solar energy department.
Takorama has received a new assignment that includes both roof replacement with Derbigum and solar cells. It is a housing association in Stenungsund that will get a new roof and also a roof-mounted solar energy installed. CEO Michael Norrby is very positive about the project and that Takorama's solar energy department has grown during the summer with several new solar experts employed.
– We are very happy about the trust from HSB Uppegård. The fact that we can offer both roofing and solar energy creates a competitive overall solution that our customers appreciate. I also want to take the opportunity to welcome Isabelle, Alan and Pierre to our solar department and this will be a perfect project for them to carry out together with our experienced roofing department, says Michael Norrby, CEO of Takorama.
