August 6 (Renewables Now) - US fabricated metal products maker Valmont Industries Inc (NYSE:VMI) has bought a majority stake in Italian engineered solar tracker solutions provider Convert Italia SpA, it was announced on Friday.
Rome-based Convert Italia is the developer of the TRJ single access tracker product, which, according to the company, increases energy production compared to traditional, fixed solar structures, and lowers installation costs. The company has offices in Brazil and Argentina, and has, to date, completed solar tracker projects in Europe, Latin America and Africa.
"This acquisition uniquely positions Valmont to supply every type of electric grid structure within the utility market,” Stephen Kaniewski, president and CEO of Valmont, said, adding that the US company’s manufacturing footprint and supply chain capabilities give it flexibility across global markets to make structural components for tracker technology.
Valmont did not say how much it paid for the controlling stake, or its exact size, but noted that the purchase was funded with cash on hand. The company expects the transaction to slightly build on earnings per share (EPS) in fiscal 2018 and to add about USD 0.10 (EUR 0.09) to EPS in fiscal 2019.
(USD 1.0 = EUR 0.865)