Striving to expand solar energy business, further shifting business focus and promoting the profitability of the Company
HONG KONG, April 28, 2017 /PRNewswire/ -- LongiTech Smart Energy Holding Limited ("LT Smart Energy" or the "Company") (HKSE: 1281), a leading operator of smart energy cloud platforms in China, is pleased to announce that the Company has completed the acquisition of the entire equity interests in Gao Bei Dian City Guangshuo New Energy Co., Ltd. ("Guangshuo New Energy") at an aggregated consideration of HK$130 million on 27 April 2017. The acquisition will further solidify and expand the Company's business of solar energy power stations in the PRC.
The consideration for the acquisition will be satisfied by the Company through the issuance of 44,820,000 consideration shares at the issue price HK$2.9 per share. Upon the completion of the acquisition, LT Smart Energy will own the entire equity interests in Guangshuo New Energy.
Currently, Guangshuo New Energy owns and operates seven distributed photovoltaic power stations in the PRC which are Bai Yang Dian Mei Lu Zhuang Yuan, Gao Bei Dian Chest Hospital, Gao Cheng Xing An, Bai Gou Xin Cheng, Guang Dong Jiang Men Ling Zhi, Hong Ze Bao Li Jia and Hong Ze Yu Tian Gang Bo. The total installed capacity of the seven photovoltaic power stations is 23.51MW.
Distributed photovoltaic power stations are an important constitution of the solar energy business of LT Smart Energy. Thus, the acquisition will increase the quantity of the distributed photovoltaic power stations of the Company in the PRC, further contributing stable earnings and cash flows to the Company and complementing the Company's solar energy business.
Mr. Wei Qiang, the CEO of LT Smart Energy said, "The acquisition of Guangshuo New Energy is an important measure following the Company's announcement of developing the clean energy business where photovoltaic power stations play an important role in the solar energy segment of the Company. At present, the Company's solar energy business segment is focused on distributed photovoltaic power stations and home photovoltaic systems. The Company has three photovoltaic solar power stations with a total installed capacity of 30MW. The acquisition of Guangshuo New Energy will include the seven distributed photovoltaic power stations, diversifying the Company's focus from solar energy business to distributed power stations to better cope with market changes, increase the operating income of the Company and strengthen the overall business capabilities and investment value."
About Gao Bei Dian City Guangshuo New Energy Co., Ltd.
Gao Bei Dian City Guangshuo New Energy Co., Ltd. was established in 2014 and is principally engaged in the developing and operating of photovoltaic power stations. Guangshuo New Energy operates 7 distributed photovoltaic power stations in the PRC which are Bai Yang Dian Mei Lu Zhuang Yuan, Gao Bei Dian Chest Hospital, Gao Cheng Xing An, Bai Gou Xin Cheng, Guang Dong Jiang Men Ling Zhi, Hong Ze Bao Li Jia and Hong Ze Yu Tian Gang Bo, with a total installed capacity of 23.51MW.
About LongiTech Smart Energy Holding Limited
LongiTech Smart Energy Holding Limited is a leading operator of smart energy cloud platforms in China. Through the big energy data center of its smart energy cloud platform and the development model of a light asset business with data and knowledge at its core, LT Smart Energy provides energy consumers with all-round smart services, including distributed energy, power trade, smart operation, energy monitoring and maintenance and other value-added services. The Company is determined to become the leading smart energy integrated service provider in China.
