The purchase agreement is subject to the condition precedent that solarhybrid will replace letters of credit, which Solar Millennium granted in association with the US projects, by 31 March 2012.
With the signing of the contract, which took place today, solarhybrid is already under a contractual obligation to secure financing for the American business.
The companies have agreed to keep the purchase price confidential. Payment is linked to the achievement of certain milestones, particularly to the conclusion of power purchase agreements. Solar Millennium will receive an additional deferred payment, if individual projects from the US power plant pipeline are resold. Solarhybrid will also release Solar Millennium from certain third party liabilities.
The conclusion of the contract, which has now been reached, was negotiated by the interim insolvency administrator with assistance of Solar Millennium´s Board of Directors.
Solar Millennium AG (ISIN DE0007218406), Erlangen, is a company that operates globally in the renewable energy sector, with its main focus on solar power plants. Together with its subsidiaries and associates, the Company specializes in solar-thermal power plants, particularly parabolic trough plants.
The Company covers all important business sectors along the value chain for solar power plants: from project development and financing to technology and the turnkey construction and operation of power plants. Solar Millennium realized Europe’s first parabolic trough power plants in Spain as well as the first modern parabolic trough solar field in Egypt.