C2SAT enters into LoI with MRT and Fong’s regarding renewable energy products
Stockholm, Sweden, 23 November 2011 – C2SAT holding AB (publ) (C2SAT) has together with Multi Resource Technologie GmbH & Co. KG, Multi Resource Technologie GmbH, Professor Doctor Uwe Hager (MRT-HAGER) and Fong’s Engineering & Manufacturing Pte Ltd (FONGS), the founders, entered into a Letter Of Intent (LOI) on the 22nd of November 2011 concerning the creation of a new commercial entity focused on renewable energy based on the transfer of patents, IP rights and know-how from the founders. In addition, financial investors will invest about Euro 1 million into the new entity receiving a ownership participation in the new entity of about 15 %. The initial ownership structure of the new entity will thereafter be MRT-HAGER 59 %, C2SAT 17 %, financial investors 15 % and FONGS 9 %.
The new entity will commercialize the products (Wind Turbine, Solar Dish, Stirling Engine, Storage Unit), developed by Multi Resource Technologie GmbH & Co. KG, Multi Resource Technologie GmbH, and Professor Doctor Uwe Hager, of which the Solar Dish is in co-operation with C2SAT. The new entity will be based in Singapore and will continue to develop the product portfolio and sell the products on a global market. The new entity will benefit from the manufacturing knowledge and capabilities of FONGS. The ambition is that the new entity will be operational by end January 2012.
C2SAT has not committed any financial investments into the new entity and C2SAT’s ownership of 17 % in the new entity is a consideration for work done by C2SAT, mainly with the development of the Solar Dish product. C2SAT will continue to support the new entity in the final commercialization of the Solar Dish product and will also in the future be a strategic supplier to the new entity of robots and software for the Solar Dish product.
C2SAT is a Swedish publicly listed company that develops and sells VSAT (Very Small Aperture Terminal) stabilized antenna systems used in satellite communication and technology and accessories thereto.
FONGS is a Singaporean privately owned company that focuses on contract manufacturing within high precision engineering.
MRT-HAGER is a constellation which has for a number of years developed a portfolio of products within the field of renewable energy based on ideas and innovations by Professor Doctor Uwe Hager.
The Parties aim to finalize the above proposed transaction, i.e. agree, publicly communicate and execute, by latest 15th January 2012.
For additional information, please contact:
Fredrik Nygren, CEO C2SAT
Dalvägen 16, SE-169 56 Solna, Sweden
Tel: +46 8 705 95 00, fredrik.nygren@c2sat.se