Solar and storage provider Sunworks has acquired installer Solcius in a deal worth US$51.8 million.
The acquisition will offer Sunworks, which itself was acquired by Peck Company Holdings, now known as iSun, through a share exchange last summer, the potential to establish a “national leader” in residential solar with access to 12 US states, the company said in a statement.
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Solcius earned US$93.4 million in revenue in the year to December 2020, and reported an operating income of US$2.8 million. A statement from Sunworks said the two businesses combined generated net revenues of US$131.5 million in the same fiscal year.
By means of comparison, Sunrun – the market leader for US residential solar – garnered annual revenues of US$922 million in 2020, while SunPower’s residential unit reported 2020 revenue of US$824 million. The combined entity of Solcius and Sunworks therefore has some considerable ground to make up before it could challenge either on the national stage. PV Tech’s competitive analysis of US residential solar installers for 2020 can be read by PV Tech Premium subscribers here.
Sunworks chief executive Gaylon Morris said the combined organisation will be “better equipped” to construct and supply residential solar solutions on a national scale due to its broadened customer base. Morris will remain as CEO of the combined business while Jason Knapp will continue to work as Solcius’ president.
“By leveraging economies of scale… the combined company will be able to secure materials more quickly, with greater reliability, and at a more beneficial price point,” he said
Residential solar installations in the US rose by 11% year-on-year in 2020 to reach 3.1GW, according to figures published by the Solar Energy Industries Alliance and analyst Wood Mackenzie, and a number of distributed installation specialists have seized on the opportunity for growth in the next decade. Independent power producer (IPP) Soltage and investment manager Harrison Street plan to spend US$250 million on installing 450MW of distributed solar and energy storage projects around the US, while East Coat-headquartered Vision Solar said it will add 1,000 jobs by the end of next year after its revenues exceeded US$100 million in 2020.