AEG Power Solutions to be acquired in friendly takeover

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  Industrial power supplies and PV inverter specialist, AEG Power Solutions is to acquired by Andrem Power

Industrial power supplies and PV inverter specialist, AEG Power Solutions, is to be acquired by Andrem Power, which is itself wholly owned by Nordic Capital Fund VII. Andrem Power said it had started a voluntary public takeover offer for all outstanding shares of 3W Power, AEG’s parent company for €4.35 in cash per share, a 40% premium to its average share price over the last three months.

3W Power reported a week ago that it had increased revenue in 2011 by 39.9% to €428.2 million, compared to €306.0 million in 2010. Growth had been driven by its Renewable Energy Solutions (RES) segment, which reported revenue of €224.0 million compared to €110.2 million in 2010, as demand within the solar value chain, from polysilicon plants (power controllers) to solar inverter solutions and monitoring and controls for utility-scale PV power plants increased.

“We see 3W Power / AEG Power Solutions as a strategically well-positioned platform in power management and energy efficiency products and systems as well as in the renewable energy market with strong growth prospects in the three business areas. Nordic Capital is prepared to take the time and provide the resources needed to allow management to continue to transform the Company and build on its potential”, said Sönke Bästlein, Partner at NC Advisory, advisor to the Nordic Capital Funds.

The closing of the transaction is expected in the second quarter of 2012, should the 95% of shares be acquired for the deal to be sanctioned.