Solar Energy Initiatives Inc. is developing one of the fastest growing dealer networks in the United States that sells and installs solar solutions to homeowners and commercial customers. The company also aims to become a developer of solar parks, bringing together landowners, utilities and corporations to build large photovoltaic installations.
The company announced today that it will be spinning-off its wholly-owned solar park company, Solar Park Initiatives Inc. For Solar Energy Initiatives shareholders as of October 15, 2009, they will receive one share of Solar Park Initiatives for every two common shares of SNRY that they own. To receive the shares in the spin-off, shareholders are not required to take any action and the transaction is tax and cash free for all SNRY shareholders.
As a result of the spin-off, both companies are expected to benefit from sharper management focus, clearer strategic vision and greater opportunities to access and allocate capital, while concentrating on investments in their respective growth areas. As CEO of Solar Energy Initiatives, David Fann, stated, “With a pipeline of $100 million in commercial/municipal solar projects, and the exceptional opportunities facing our solar park company, we felt that it was the right time for this transaction.”
Solar Park Initiatives will focus on developing large utility-scale solar parks. The company will target projects ranging from 10 to 500 megawatts in geographies favorable for development. Solar Energy Initiatives will procure the solar system technologies for Solar Park Initiatives’ projects, thus enabling both companies to enjoy a symbiotic relationship while focusing on their core businesses.