Throughout its history Arco Energy has been profitable and is profitable today and as a result the acquisition will be immediately accretive for Premier Power. The Company anticipates Italian projects to begin generating substantial revenue growth for Premier Power in the second half of this year. Based on Arco’s historical revenue, net income and gross margin performance, as well as pending project economics, Premier Power expects the acquisition to significantly improve overall operating margins.

The acquisition of Arco Energy gives Premier Power access to arguably the world’s fastest growing solar power market today. With an aggressive feed-in tariff program and ideal solar power conditions, Italy’s solar market is expected to grow to 3,000 megawatts by 2016, up from 325 megawatts in 2008.

“While many European developers talk about projects in Italy, Arco Energy has proven it has the local market knowledge and expertise in this emerging market necessary to execute. Arco has installed projects in both the Northern and Southern regions of Italy, as well as the highly coveted Sicilian market; this cross region success is virtually unprecedented for an Italian solar company. The company’s local market knowledge is critical to mastering the permitting and grid connection process, two tasks many of Arco’s larger competitors have struggled to accomplish,” said Miguel de Anquin, COO, Premier Power. “Arco Energy helps create a great platform to execute our continued growth strategy across Europe.”

In addition to its project development, EPC and integration business, Arco Energy is a distributor for Canadian Solar (NASDAQ: CSIQ) and Suntech (NYSE: STP) modules, as well as Solar Max and Power One invertors and other balance of systems components.

Combined, Premier Power and Arco Energy will be one of Italy’s most complete solar power companies. Premier Power brings access to capital, proven engineering resources and project management best practices for installing complex commercial, agricultural and industrial solar power systems. That expertise will complement Arco Energy’s core competency in the Italian solar market. Premier’s global engineering team has developed best practices in multiple markets around the world. Arco Energy has local engineering resources who are experts in the Italian market. The founders of Arco Energy have over 20 years of real estate, design and construction experience in Italy.

“Italy is by far the leading market in the solar world today with both near-term and long-term potential that begins with immediate large scale solar farming projects, and will move to rooftop and building-integrated photovoltaics (BIPV) market opportunities further down the line,” said Dean Marks, CEO of Premier Power. “Arco Energy is a perfect fit. Both companies have always placed a premium on profitable growth and a focus on customer satisfaction. Our technology expertise complements each other perfectly, and Arco brings a significant pipeline that adds immediate value.”

Premier Power has a successful track record moving into European markets. While the Spanish solar farming market in general has experienced a dramatic decline, Premier Power Spain anticipates an almost doubling of its revenues in Spain this year as a result of its strategy of focusing on the distributed generation and rooftop markets. Premier Power sees a similar opportunity ahead with its entrance into the Italian solar market. Premier Power’s Italian operations will initially focus on large scale solar “green field” farming opportunities in the near-term and expand to rooftop and building-integrated photovoltaic’s (BIPV) opportunities as the market matures.

“Solar farming in Italy is no doubt leading the solar industry today. It is not just near term solar farming but the rooftop and BIPV markets that offer a longer term opportunity,” said Marco Pulitano, CEO of Arco Energy. “Premier Power’s expertise in the design, engineering and integration of all types of projects – from utility scale solar farms to ground-mount use of thin film, roof-top modules and large single and bi-directional trackers to building integrated roof-top systems – is unlike any other company in Italy. This versatility gives us the ability to seize both the immediate opportunity and remain in Italy as a long-term player. We are pleased to become a part of Premier Power, an industry leader in the solar integration market.”

Genesis Capital was the advisor to the transaction, and conducted extensive market and regional due diligence on behalf of Premier Power prior to the transaction.

About Premier Power

Premier Power Renewable Energy, Inc. (http://www.premierpower.com) is the leading global provider of solar power systems, to small and large commercial enterprise, agricultural applications, utilities, municipality and governments. Unlike its peers Premier Power is uniquely diversified across markets segments and geography. Premier Power's management team has been in solar since 1984 and delivers unmatched experience to customers throughout North America and Europe. Premier Power's industry-leading products, technologies and services have enabled its customers to maximize clean energy output along with project savings. Premier Power is systems agnostic and advocates the best solution for each unique installation. Premier Power has installed over 1000 systems to date and has worked with thin film, single axis trackers, bi-directional trackers; small and large scale projects and prides itself on environmentally friendly installations. Today, Premier Power designs and deploys the most innovative solar electric systems through market-leading innovation and exceptional customer service.

About Arco Energy:

Arco Energy is based in Campobasso, Italy, a region centrally located to the markets leading the solar revolution in Italy with sales and development operations in Milan and Rome. Arco Energy has installed and connected ground mount systems in both Southern and Northern Italy. The founders of Arco Energy are Italian and have an established background in design, construction and land development in Italy. Arco Energy maintains distribution agreements with Suntech and Canadian Solar.

Organization name: Premier Power Renewable Energy, Inc.
Contact Person: Helen Allrich  Media, Weber Shandwick
E-mail: hallrich@webershandwick.com
Country: USA
Web: http://www.premierpower.com