According to biz journals, Siemens AG has acquired a 16% stake in Durham, North Carolina based Semprius, manufacturer of high concentrating photovoltaic modules (HCPV). The terms of the transaction were not disclosed.
Semprius, develops HCPV solar modules that increase efficiency by using lenses to concentrate sunlight onto cells that produce power. Through this acquisition, the company adds the photovoltaic form of energy generation to its already established energy division.
Siemens’ Energy business segment (37.4% revenue for the second quarter of fiscal 2011) comprises the Power Generation (PG) and Power Transmission & Distribution (PTD) divisions, as well as Fossil Power Generation and Renewable Energy and Solutions for the Oil and Gas Industry. The PG division offers services and products, such as the planning and construction of power plants, the manufacture and installation of components and systems, power plant upgrades, energy management systems, and fuel cells. It also supplies turbines, compressors and complete solutions for industrial plants, particularly in the oil and gas industry. The PTD Division is a manufacturer, systems integrator and provider of solutions and services for the power utilities and industry customers, which enables utilities to transport and distribute electricity.
Photovoltaic (solar) module is a method where light energy converts into electricity. A photovoltaic module is the basic element of each photovoltaic system. Management at Siemens Energy states that this form of energy generation provided higher efficiencies than the conventional method and is, therefore, considered a strategic fit.
According to New Energy World Network (NewNet), the market for HCPV installations is in its nascent stage, but is expected to grow to a volume of about 6GW by 2020.
Siemens, which primarily competes with ABB Ltd. (ABB) and General Electric Company (GE), currently has a Zacks Rank of #3 which implies a short term ‘Hold’ rating in the stock.
ABB LTD-ADR (ABB): Free Stock Analysis Report
Be the first to comment