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China A-TECH acquisition of U. S. Cirrus Wind Energy

News International-French

19 Apr 2012

The application of A-TECH Wind Power Company for its acquisition of U. S. Cirrus Wind Energy, Inc (CWEI) formally approved by Jiangxi Province Government, this merger has important significance for A-TECH wind products sales expansion in the international market.

CWEI owns a 61.2MW wind farm, covering 3400 acres of land in Tahoka Lynn County, Texas, and CWEI has 30 years of land lease of the wind farm with an option to extend the lease.
This assent is very lubricated for A-TECH as a professional engaged in permanent magnet wind turbine design and manufacturing, the merger, not only can provide A-Tech the profit from a wind farm development, it also has more important significance for the equipment export to Europe and the United States, which enhance its brand recognition for A-TECH.
A-TECH plans to invest $99.8 million, including $12 million for the acquisition of 100% stake in CWEI and the ownership of Lynn County wind field, the development right and the right of its returns, the remaining $87.8 million will be used in batches for wind equipment purchasing and wind field construction this year.
It is expected that the project 20 years operating income would be about $210 million, capital ROI 8.35%, capital recovery period 9.84 years. The smooth implementation of the project has important significance to the A-TECH equipment export to Europe and America, thus further expand to the international market, and enhance its brand image.
The project total investment is 99.8 million dollars, all cash, including 50 million U.S. dollars of bank loan; the remaining funds will be solved from the external source of A-TECH. Specific sources of foreign exchange will be approved by the foreign exchange management departments.

More about A-TECH:
A-TECH Wind Power (Jiangxi) Co., Ltd. is a joint venture between A-TECH GROUP (HONG KONG) CO.,Ltd and RACHEE (HONG KONG) CO.,Ltd, The registered capital is 120 million Hong Kong dollars. It erects an administrative center in Beijing, and the workshop is located in the Economic and Technological Development District of Xinyu, JiangXi province, which covers 170,000 square meters. The productive capacity of Mega-watt permanent magnet wind turbine generator can arrive 1000 sets/year. A-TECH Wind Power (Jiangxi) Co., Ltd is mainly engaged in R&D, production, sales and service of MW permanent magnet wind turbine generator. It always tries its best to provide permanent magnet wind turbine generator with advanced technology and stable function for those factories which produce wind turbine generator system.
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Original language Chinese