CLEANTECH SECTOR REPORT
SAVVIAN, LLC 150 CALIFORNIA STREET, SAN FRANCISCO, CA 94111 | www.savvian.com | 415.318.3600
MARKET HIGHLIGHTS Inside this issue NYMEX crude oil futures gained nearly 20% in Q4 and traded above $90 per barrel for much of the Market Highlights quarter, driving demand for cleantech stocks across all sectors Summary Performance For the fourth straight quarter, solar stocks outperformed all other cleantech sectors in Q4, posting Observations gains of 29% Regulatory Environment Wind stocks outgained solar stocks for much of the quarter but declined in the month of December. Industry News The index rose 21% for the quarter Trading Data Fuel Cell and Biofuels stocks continued their recent declines well into Q4 but recovered to end the Transaction Activity quarter up 9% and 5%, respectively. Geo / Hydro and Efficiency Technology stocks also began the quarter unimpressively but finished up 14% and 11%, respectively Savvian Update The Cleantech Venture Network tracked 95 private equity investments in cleantech companies totaling $1.5bn in Q4 versus 74 private equity investments totaling $1.5bn in Q3
San Francisco Office SUMMARY PERFORMANCE 150 California Street AV / Revenue AV / EBITDA Price / EPS San Francisco, CA 94111 CY 07E CY 08E CY 07E CY 08E CY 07E CY 08E Phone: (415) 318-3600 Geo / Hydro 9.3 x 4.2 x 27.9 x 17.2 x 84.1 x 43.0 x Efficiency Technology 12.8 x 6.6 x NM 43.7 x NM NM Solar 4.7 x 2.5 x 20.8 x 13.4 x 29.6 x 20.9 x New York Office Wind 3.0 x 2.4 x 25.8 x 14.1 x 51.4 x 30.9 x 7 Times Square, Biofuels 2.1 x 0.5 x 11.6 x 9.8 x 22.6 x 36.4 x Suite 2501 Fuel Cells 1.6 x 5.7 x NM NM NM NM New York, NY 10036 Phone: (212) 999-7090
Chicago Office 140 71 S Wacker Drive, Suite 1230 130 Chicago, IL 60606 28.9%
Phone: (312) 212-8210 21.3% 120 19.6%
13.8% 10.7% 110 8.6% 4.8% 100 For further information, Indexed Price please contact: 90
Mark McInerney Managing Director 80 Phone: (415) 318-3654 [email protected] 70 10/01/07 10/12/07 10/26/07 11/09/07 11/22/07 12/05/07 12/18/07 12/31/07 Bill Baker Date Director Solar Biofuels Fuel Cell Geo / Hydro Wind Efficiency Technology Phone: (415) 318-3641 Oil Futures [email protected]
Note: Multiples as of 12/31/07. Source: Factset. OBSERVATIONS Al Gore and the United Nations Intergovernmental Panel on Climate Change were awarded the 107 th Nobel Peace Prize for their combined efforts to “disseminate greater knowledge about man-made climate change, and to lay the foundations for the measures that are needed to counteract such change.” The announcement is consistent with the notion that climate change is becoming an increasingly mainstream concept Demand response and smart grid initiatives have a prominent role in the recently passed Energy Bill and are becoming increasingly visible to energy consumers. A November New York Times article highlighted two publicly-traded providers, Comverge and EnerNOC, focused on the commercial and residential markets, respectively. The companies act as an insurance policy to utilities by paying energy consumers to allow their power consumption to be altered remotely when the grid is stretched beyond capacity Wave and tidal power have yet to take off in the United States but are enjoying increased visibility in other industrialized areas. Oceanlinx of Australia announced plans to raise up to £35 million on London’s AIM while Pelamis and AWS Ocean Energy, both of Scotland, have expressed interest in potential stock offerings In October, the Cape Cod Commission unanimously rejected a measure that would have allowed Energy Management to develop a 420MW wind farm in Nantucket Sound on the stated grounds that Energy Management provided insufficient information about the proposal. Regardless of the stated reason for denial by the Commission, the ongoing battle highlights one of the major roadblocks for coastal wind farm developments in the United States: residents don’t want to look at a seascape cluttered by unsightly wind turbines Source: News, Wall Street research. CLEANTECH UNIVERSE PERFORMANCE
200% Last Month Six Months 1 Year 175% 178 %
150%
125%
100%
75% 8 5%
6 4 % 50% 57% 57%
4 2 % 4 4 % 3 6 % 25% 2 9 %
4 % 16 % 18 % 9 % 9 % 12 % 2 % 11% 0% ( 15 %) ( 2 %) ( 2 %)
(25%) ( 3 2 %)
(50%) Oil Futures Geo / Hydro Efficiency Solar Wind Biofuels Fuel Cells Technology Best Performers – Last Month Best Performers – Six Months Best Performers – 1 Year China Sunergy 118% Tower Tech Hldgs. 230% First Solar 795% SolarFun Power 100% SolarFun Power 220% Tower Tech Hldgs. 619% Canadian Solar 79% Canadian Solar 199% Hoku Scientific 337% LDK Solar Co. 59% First Solar 199% SunPower 251%
Source: Factset.
SAVVIAN, LLC 150 CALIFORNIA STREET, SAN FRANCISCO, CA 94111 | www.savvian.com | 415.318.3600 REGULATORY ENVIRONMENT Following months of negotiations, the U.S Senate approved a new energy bill in mid-December that requires the first increase in vehicle fuel economy standards in more than 30 years. However, excluded from the bill were a renewable portfolio standard provision and a $22 billion tax package that would have diverted tax breaks from oil companies to renewable energy producers. Both measures were present in earlier, more ambitious versions of the bill. President Bush signed the bill into law on December 19 In October, Senators Joe Lieberman and John Warner introduced America’s Climate Security Act, which proposes a 70% reduction of emissions (based on 2005 levels) by 2050. The bill also provides financial transition assistance to families and additional funding for low-carbon technology investments for electric utility, transportation, and manufacturing companies The European Commission announced that it is delaying the introduction of its comprehensive climate change bill until the first quarter of 2008. The bill includes new laws that will enable the EU to achieve its target of 20% renewable energy by 2020. The bill also stipulates binding renewable energy targets for EU members Berkeley, CA mayor Tom Bates announced a plan in October that would make Berkeley the first town in the U.S. to allow property owners to pay for energy efficiency improvements and solar system installations as a long-term assessment on their individual property tax bills. The Berkeley city council approved the initial framework of the plan in November Germany’s federal environment ministry is considering a plan to raise the quota for heat generated from renewable fuels from 6% to 14% by 2020 Governors of six Midwestern states and Manitoba’s premier signed a greenhouse gas emissions accord. Under the agreement, the region would set up a regional cap-and-trade system for trading emission credits over the next year, with trading of those credits slated to start in 2010
INDUSTRY NEWS Following a nine-month screening process of over 200 locations, REC announced plans in November to build a 1.5GW solar manufacturing complex in Singapore at an estimated cost of €3 billion. The new facility is expected to create 3,000 jobs In October, MEMC executed a 10-year agreement to supply solar wafers to Conergy. The first payment is scheduled for the third quarter of 2008. Additionally, MEMC will participate in 5% of the increase in value of Conergy’s solar module / cell subsidiary Verasun Energy announced an agreement to acquire US Bioenergy for $700 million in stock. The combined company is expected to have an annual ethanol generating capacity of 1.6 billion gallons by the end of 2008. The acquisition should close in the first quarter of 2008 Suzlon Energy signed contracts with Renewable Power Ventures and AGL Energy to deliver 97 wind turbines with an aggregate capacity of approximately 200MW In December, Ormat Technologies announced a 20-year agreement to provide geothermal energy to Southern California Edison. The power will be generated by a plant in Imperial Valley, CA that is expected to open in 2012 with a total capacity of 30MW. The agreement includes an option to increase capacity to 100 megawatts Ausra announced in December a plan to build America’s first solar thermal manufacturing plant in Las Vegas, NV. The plant will produce solar collectors with an aggregate capacity of 700MW per year EnerNOC signed a new demand response capacity agreement with Southern California Edison (SCE) in October. The agreement ramps up to 160 MW of load reduction over its term ending in 2012. Earlier in 2007, EnerNOC and SCE entered into a 40 MW, two-year agreement JA Solar raised $161MM in a follow-on offering of 6.3 million shares. Existing shareholders also sold shares worth $94 million in the offering During October, GE Energy signed two wind turbine supply contracts worth over $1 billion in total. Energias de Portugal will purchase turbines worth $730 million for projects to be developed in Europe and the United States. Third Planet Windpower will purchase turbines worth $350 million SunPower said in November that its Spanish subsidiary will develop and construct three solar electric power plants totaling approximately 21MW in the Castilla La Mancha region of Spain Source: Wall Street research, news releases.
SAVVIAN, LLC 150 CALIFORNIA STREET, SAN FRANCISCO, CA 94111 | www.savvian.com | 415.318.3600 CLEANTECH COMPARABLE COMPANY UNIVERSE
$MM, Except Per Share Data
Stock LTM EPS Revenue Price (USD) Price Range Equity Aggregate AV / Revenue AV / EBITDA Price / EPS Long Term CY 07E Growth 12/31/07 Low High Value Value CY 07E CY 08E CY 07E CY 08E CY 07E CY 08E Growth PEG 08E/07E
Geo / Hydro
Ormat Technologies Inc. $55.01 $33.52 $57.93 $2,284 $2,721 9.1 x 7.0 x 27.9 x 17.2 x 84.1 x 43.0 x 22.1% 3.8 x 30.6% Ocean Power Technologies Inc. 16.23 10.72 27.50 166 56 9.4 1.5 NA NA NM NM NA NA 537.4%
Mean/Median 9.3 x 4.2 x 27.9 x 17.2 x 84.1 x 43.0 x 22.1% 3.8 x 284.0%
Efficiency Technology
EnerNOC Inc. $49.10 $29.09 $50.50 $936 $856 14.3 x 7.5 x NM NM NM NM 16.0% NM 90.7% Comverge Inc. 31.49 19.79 39.09 645 610 11.4 5.7 NM 43.7 NM NM NA NA 97.8%
Mean/Median 12.8 x 6.6 x NM 43.7 x NM NM 16.0% NM 94.2%
Solar
Renewable Energy Corp. ASA $50.83 $17.83 $58.17 $25,126 $24,451 20.0 x 13.0 x 41.2 x 25.7 x 72.1 x 45.7 x 76.0% 0.9 x 54.7% Shin-Etsu Chemical Co. Ltd. 62.84 55.63 79.23 27,021 23,104 1.8 1.7 NA 5.4 16.4 14.4 20.7% 0.8 8.1% Applied Materials Inc. 17.76 17.35 23.00 24,558 22,393 2.3 2.5 NA 9.4 14.6 16.5 15.0% 1.0 (6.2%) First Solar Inc. 267.14 27.54 283.00 20,825 20,249 NM 25.3 NM NM NM NM 43.2% NM 68.4% MEMC Electronic Materials Inc. 88.49 39.00 96.08 20,274 19,095 9.9 7.9 20.4 15.9 26.9 21.1 28.9% 0.9 24.9% Q-Cells AG 142.70 44.01 150.97 15,668 15,364 12.6 8.4 48.4 32.5 65.0 44.0 29.8% 2.2 49.8% Wacker Chemie AG 289.05 125.24 293.77 15,088 14,940 2.7 2.4 10.2 8.9 22.8 19.8 NA NA 13.6% Suntech Power Holdings Co. Ltd. (ADS) 82.32 31.41 88.65 12,665 12,972 9.5 5.7 NM 30.3 76.5 41.9 41.1% 1.9 68.5% SunPower Corp. (Cl A) 130.39 35.40 164.49 10,927 10,886 14.1 8.8 NM 39.9 NM 63.6 40.8% NM 61.2% Sumco Corp. 28.82 24.66 55.09 7,333 8,485 2.0 1.7 NA 3.9 10.7 10.0 44.4% 0.2 15.8% SolarWorld AG 61.04 30.78 70.71 6,819 6,656 6.9 5.0 20.4 15.0 44.0 30.8 33.4% 1.3 36.4% Yingli Green Energy Holding Co. Ltd. (ADS) 38.70 10.48 41.50 4,912 5,031 9.6 5.9 49.2 24.3 84.7 43.6 32.3% 2.6 62.6% LDK Solar Co. Ltd. (ADS) 47.01 22.27 76.75 4,985 4,969 9.6 4.7 30.2 17.6 35.9 27.5 46.0% 0.8 104.2% JA Solar Holdings Co. Ltd. (ADS) 69.81 16.17 76.50 3,497 3,409 10.2 4.4 52.8 28.4 56.3 33.8 46.0% 1.2 133.0% Tokuyama Corp. 10.05 9.39 19.08 2,771 3,190 1.1 1.1 NA 5.7 14.8 13.7 NA NA 4.6% Osaka Titanium Technologies Co. Ltd. 74.65 62.37 128.03 2,747 2,809 5.9 5.0 NA NA 25.7 20.9 35.0% 0.7 19.5% Conergy AG 36.55 22.41 98.93 1,283 1,890 1.3 1.2 NM 26.2 NM NM 33.8% NM 12.4% Motech Industries Inc. 9.17 7.28 13.17 1,822 1,834 3.8 2.7 19.9 14.3 22.3 17.6 31.0% 0.7 42.7% Evergreen Solar Inc. 17.27 6.97 18.85 1,751 1,685 24.8 15.9 NM NM NM NM 35.0% NM 56.5% Solarfun Power Holdings Co. Ltd. (ADS) 32.65 8.22 37.85 1,567 1,625 5.3 2.4 NA NA 77.7 26.7 30.0% 2.6 118.4% Solon AG fuer Solartechnik 105.27 29.98 137.80 1,316 1,448 2.1 1.2 21.1 13.7 32.3 22.2 55.4% 0.6 66.4% Trina Solar Ltd. (ADS) 53.80 17.06 73.06 1,365 1,395 4.7 2.0 37.1 12.8 42.4 19.5 76.3% 0.6 131.3% Energy Conversion Devices Inc. 33.65 22.26 40.10 1,345 1,222 6.9 3.7 NM 30.7 NM 84.0 35.0% NM 84.3% Wafer Works Corp. 5.83 2.00 7.94 1,234 1,215 7.4 6.2 27.2 22.7 29.6 22.3 NA NA 19.5% ErSol Solar Energy AG 106.28 57.94 141.34 1,140 1,191 5.4 2.6 23.0 8.8 71.4 18.7 54.1% 1.3 106.9% PV Crystalox Solar PLC 3.02 2.02 3.46 1,257 1,129 3.0 2.7 11.5 9.9 21.6 18.5 NA NA 12.4% ReneSola Ltd. 9.83 3.83 12.60 983 1,112 4.6 1.9 19.0 9.8 29.7 15.2 28.0% 1.1 137.1% Canadian Solar Inc. 28.15 6.50 31.44 772 807 2.7 1.1 NM 12.1 NM 21.5 36.7% NM 141.1% China Sunergy Co. Ltd. ADS 16.52 4.83 19.23 653 708 3.0 1.7 NM 48.9 NM NM NA NA 80.3% E-Ton Solar Tech. Co. Ltd. 9.62 7.14 14.43 584 702 3.7 2.0 27.1 15.3 21.6 14.7 39.9% 0.5 87.5% Phoenix Solar AG 59.94 19.82 60.29 364 387 1.2 0.9 18.2 13.0 28.8 18.6 41.8% 0.7 41.2% aleo solar AG 25.00 8.93 25.41 325 369 1.1 0.8 13.9 10.3 24.2 16.8 18.4% 1.3 33.4% Akeena Solar Inc. 7.96 1.90 10.05 222 216 6.9 3.7 NM NM NM NM NA NA 85.9% Solar-Fabrik AG 23.20 12.16 35.24 271 214 1.1 0.7 17.6 7.6 27.2 14.2 54.1% 0.5 46.7% DayStar Technologies Inc. 6.25 2.00 7.50 203 206 NA NA NA NA NM NM 32.5% NM NA Spire Corp. 23.65 7.63 26.78 196 196 NA NA NA NA NA NA NA NA NA Sunways AG 11.32 9.04 15.49 129 118 0.4 0.4 9.2 5.1 45.8 14.5 86.0% 0.5 21.2% Carmanah Technologies Corp. 1.21 1.03 2.99 52 51 0.8 0.7 NM 9.1 NM 30.4 NA NA 12.6% Solartron PCL 0.09 0.07 0.13 26 26 10.0 1.0 NM 0.1 NA NA NA NA 873.3%
Mean 6.1 x 4.3 x 25.9 x 16.7 x 38.6 x 26.5 x 40.7% 1.1 x 79.2% Median 4.7 2.5 20.8 13.4 29.6 20.9 35.8% 0.9 54.7%
Wind
Acciona S.A. $317.05 $174.65 $365.74 $20,148 $36,054 3.4 x 3.0 x 21.2 x 16.8 x 23.4 x 19.7 x 23.7% 1.0 x 13.3% Vestas Wind Systems A/S 108.23 39.75 109.63 20,045 19,789 2.9 2.4 26.1 16.6 58.2 32.5 42.3% 1.4 23.4% Suzlon Energy Ltd. 49.11 21.60 54.93 14,703 15,627 5.3 3.6 32.9 22.0 49.0 32.3 36.0% 1.4 47.5% Gamesa Corporacion Tecnologica S.A. 46.76 25.96 53.49 11,376 12,659 2.7 2.3 18.5 14.6 34.6 26.0 20.2% 1.7 16.8% Nordex AG 46.13 17.67 58.07 3,083 2,905 2.6 1.9 33.3 19.6 53.0 30.9 44.0% 1.2 38.6% Babcock & Brown Wind Partners Group 1.49 1.12 1.77 1,276 2,775 17.7 11.0 22.9 14.1 59.4 40.2 NA NA 61.4% Clipper Windpower PLC 14.13 9.47 18.33 1,529 1,412 2.6 0.9 NM 14.0 NM 26.1 NA NA 176.8% REpower Systems AG 182.76 99.16 226.62 1,644 1,406 1.5 1.0 25.6 12.7 51.8 25.4 NA NA 45.0% Theolia 29.49 16.09 42.31 1,140 1,255 3.0 2.2 32.7 13.0 51.0 44.5 NA NA 34.1% Tower Tech Holdings Inc. 14.30 1.76 14.50 1,091 1,084 NA NA NA NA NA NA NA NA NA Greentech Energy Systems A/S 19.61 10.37 21.61 903 963 14.4 4.6 31.4 4.4 NA NA NA NA 211.1% Novera Energy PLC 1.08 1.03 1.56 135 278 4.0 3.6 13.2 11.7 NM NM NA NA 10.6% Aerowatt 73.10 50.56 73.13 102 116 NA NA NA NA NA NA NA NA NA Western Wind Energy Corp. 1.40 0.72 2.36 37 53 NA NA NA NA NA NA NA NA NA Sea Breeze Power Corp. 0.40 0.13 0.72 29 33 NA NA NA NA NA NA NA NA NA
Mean 5.5 x 3.3 x 25.8 x 14.5 x 47.5 x 30.9 x 33.2% 1.3 x 61.7% Median 3.0 2.4 25.8 14.1 51.4 30.9 36.0% 1.4 38.6%
Biofuels
VeraSun Energy Corp. $15.28 $9.60 $21.47 $1,420 $1,979 2.4 x 0.9 x 36.2 x 9.8 x 67.4 x 26.0 x 16.0% 4.2 x 174.4% Clean Energy Fuels Corp. 15.14 10.81 20.65 669 580 4.8 3.5 NM 53.9 NM 90.1 25.0% NM 36.3% Aventine Renewable Energy Holdings Inc. 12.76 7.76 24.01 536 511 0.3 0.3 11.6 11.6 22.6 91.5 17.0% 1.3 26.8% Pacific Ethanol Inc. 8.21 4.20 18.79 333 431 1.0 0.7 18.8 11.4 NM 56.6 59.3% NM 45.8% BioPetrol Industries AG 5.34 5.24 12.63 197 233 0.7 0.3 11.3 4.4 17.4 5.6 44.2% 0.4 135.2% BioFuel Energy Corp. 7.03 3.93 11.97 108 131 NA 0.4 NM 5.1 NM NM 20.0% NM NA D1 Oils PLC 2.64 1.90 5.85 164 112 6.8 0.5 NM NM NM NM NA NA 1226.9% Green Plains Renewable Energy Inc. 13.29 8.52 25.00 80 111 2.1 0.3 NA NA NM 36.4 20.0% NM 568.8% Mission Biofuels Ltd. 1.23 0.73 1.48 114 91 NA 0.5 10.1 2.0 NA 4.1 NA NA NA Australian Biodiesel Group Ltd. 0.03 0.03 0.14 13 10 NA 0.4 NA NA NA NA NA NA NA Australian Renewable Fuels Ltd. 0.05 0.04 0.48 9 5 NA NA NA NA NA NA NA NA NA Alternative Energy Sources Inc. 0.14 0.13 2.00 6 4 NA NA NA NA NA NA NA NA NA
Mean 2.6 x 0.8 x 17.6 x 14.0 x 35.8 x 44.3 x 28.8% 2.0 x 316.3% Median 2.1 0.5 11.6 9.8 22.6 36.4 20.0% 1.3 135.2%
Fuel Cells
Medis Technologies Ltd. $15.43 $8.84 $24.10 $541 $520 NM 11.1 x NA NA NM NM NA NA 2825.0% FuelCell Energy Inc. 9.92 5.84 13.14 675 509 9.3 5.2 NA NM NM NM NA NA 79.0% Ballard Power Systems Inc. 5.26 4.16 6.94 605 443 7.2 5.7 NM NM NM NM NA NA 26.6% Hoku Scientific Inc. 11.40 2.52 14.55 192 183 NM 24.9 NA NA NM NM 37.5% NM 76.7% ITM Power PLC 2.32 2.02 3.26 237 174 NM 11.6 NM NM NM NM NA NA 470.0% Plug Power Inc. 3.95 2.42 4.75 347 167 10.9 6.9 NM NM NM NM NA NA 56.9% Quantum Fuel Systems Technologies Worldwide Inc. 0.49 0.48 2.30 38 91 0.7 0.8 NA NA NM NM NA NA (9.7%) Enova Systems Inc. 4.80 2.97 8.49 82 70 NA NA NA NA NA NA NA NA NA Hydrogenics Corp. 0.94 0.84 1.65 86 48 1.3 1.3 NM NM NM NM 8.0% NM (6.0%) HydroGen Corp. 2.95 1.90 6.57 38 26 NA NA NA NA NA NA NA NA NA Millennium Cell Inc. 0.30 0.29 1.23 20 22 NM NM NA NA NA NA NA NA 232.4% Mechanical Technology Inc. 0.75 0.72 1.93 29 17 1.6 1.4 NA NA NM NM NA NA 20.2% Distributed Energy Systems Corp. 0.40 0.28 3.95 16 15 0.4 NA NA NA NM NA NA NA NA
Mean 4.5 x 7.7 x NM NM NM NM 22.8% NM 377.1% Median 1.6 5.7 NM NM NM NM 22.8% NM 66.8%
Notes: Source: Reuters, FactSet and Street Estimates Earnings Multiples <0 or >100 considered NM. Revenue Multiples <0 or >30 considered NM. EBITDA Multiples <0 or >60 considered NM. SAVVIAN, LLC 150 CALIFORNIA STREET, SAN FRANCISCO, CA 94111 | www.savvian.com | 415.318.3600 SELECTED MERGER & ACQUISITION TRANSACTIONS ($MM)
Announced Acquiror Target Target Description Deal Value Aggregate Value Date
12/21/07 Electrabel SA Owns and operates wind farms $71.8 $71.8 Wind Farm
Oc Oerlikon Balzers, 12/20/07 PRAMAC S.p.A. (CM:PRA) Manufactures photovoltaic wafers 100.4 100.4 Photovoltaic Facility
12/17/07 Ozpe Owns and operates wind farms 258.7 258.7
Bank Of Ireland (i O M) Ltd, 12/11/07 Solar Home Energy Ltd. Manufactures and installs solar home energy systems 20.4 20.4 Warmroof Systems Ltd.
Iberdrola Energías Renovables, 12/5/07 Owns and operates wind farms 96.5 96.5 S.A.U. Two Wind Power Parks
First Solar, Inc. 11/30/07 Designs and deploys commercial solar projects 34.3 34.3 (NasdaqNM:FSLR)
VeraSun Energy, Corp. 11/29/07 Produces and markets ethanol and distillers grains 1,038.6 958.9 (NYSE:VSE) Transfield Services Infrastructure Fund (ASX:TSI), 11/29/07 Australian Wind Farms Generates electricity using wind energy 397.1 397.1 Transfield Services Ltd., Asset Management Arm Ethanex Energy, Inc. Midwest Renewable Energy, Produces fuel ethanol through natural fermentation and 11/28/07 220.0 220.0 (OTCBB:EHNX) LLC distillation of corn
Greentech Energy Systems A/S 11/27/07 Parco Eolico de San Vito Owns and operates wind farms 23.2 29.0 (CPSE:GES)
Produces wind and also manufactures and markets wind 11/26/07 Sorgenia La Française d'Eoliennes 294.2 367.7 mills
11/26/07 Grupo Nova América Destilaria Paraguacu Ltda. Owns and operates sugar and ethanol plants 68.0 68.0
Canadian Hydro Developers 11/22/07 Le Nordais Wind Plant Owns and operates wind farms 117.7 117.7 Inc. (TSX:KHD)
Applied Materials Inc. Manufactures and markets microelectronic equipment for 11/18/07 Baccini S.p.a 329.3 329.3 (NasdaqNM:AMAT) solar cell and TFT technologies
11/14/07 Electrabel SA Owns and operates wind farms 137.3 137.3 Two Wind Farms
Babcock & Brown Limited Babcock & Brown 11/14/07 Produces ethanol 99.9 106.9 (ASX:BNB) Environmental Investments
Designs, develops, constructs, owns, and operates wind 11/13/07 Electrabel SA La Compagnie du Vent S.A. 468.4 934.9 farms
Centrotherm photovoltaics AG Produces and supplies thin film processing equipment and 11/8/07 FHR Anlagenbau GmbH 32.3 32.3 (DB:CTN) technologies
Ford Motor Co. (NYSE:F), Ballard Power Systems Inc., Produces PEM (proton exchange membrane) fuel cell 11/7/07 189.3 236.4 Daimler AG (DB:DAI) Automotive Fuel Cell Assets products and services for fuel cell vehicles
Macquarie Group, Two Wind 10/31/07 Martifer SGPS (ENXTLS:MAR) Owns and operates wind farms 131.6 131.6 Farms In Germany
10/25/07 Renewagy A/S (CPSE:REN) DKA Renewable Energy A/S Designs and deploys commercial solar projects 60.8 60.8
10/16/07 Iberdrola SA (CATS:IBE) Eólicas de Euskadi, S.A. Promotes, constructs and installs wind farms 164.3 328.6
10/16/07 Wind Energy America, Inc. Boreal Energy, Inc. Owns and operates wind farms 49.5 49.5
10/4/07 E.ON Owns and operates wind farms in North America 847.0 1,400.0 North American Operations
10/3/07 EnerTAD SpA (CM:ENR) Theta Energy Sarl Owns and operates wind farms 41.7 41.7
Source: Cleantech Venture Network, CapIQ, company press releases and Wall Street research. Includes deals with disclosed transaction values greater than $20.0MM SAVVIAN, LLC 150 CALIFORNIA STREET, SAN FRANCISCO, CA 94111 | www.savvian.com | 415.318.3600 SELECTED IPO ACTIVITY ($MM, except per share data)
IPO Pricing Data Current (12/31/07) Performance Midpoint of Total Gross Price / Market Cap Name Business Description Ticker Exchange File Date Initial Range Proceeds Date Price File @ Offer Share Price Market Cap T + 1 day T + 7 day T + 30 day T + Now Orion Energy Systems, Inc Designs, manufactures, OESX NasdaqNM 08/20/07 $13.00 $74.0 12/18/07 $13.00 0.0% $330.2 $18.82 $499.7 64.7% 48.8% NA 44.8% Manitowoc, WI and implements energy www.oriones.com management systems Gushan Environmental Energy Ltd Produces and distributes GU NYSE 12/03/07 $12.50 $172.8 12/18/07 $9.60 (23.2%) $1,457.6 $9.35 $1,419.6 1.4% 0.0% NA (2.6%) Sheung Wan, Hong Kong bio-diesel and related www.chinagushan.com products in China Iberdrola Renovables Generates electricity from IBR-ES MCE 10/11/07 $9.05 $6,588.2 12/13/07 $7.80 (13.8%) $33,562.6 $8.26 $35,531.2 1.8% (2.4%) NA 5.9% Bilbao, Spain hydro-electric, wind, solar, www.iberdrola.es photovoltaic & biomass EarthFirst Canada Inc Develops renewable wind EF-CA TSX 11/06/07 $2.28 $138.2 12/11/07 $2.28 0.0% $230.9 $1.82 $184.8 (16.6%) (17.5%) NA (20.0%) Victoria, British Columbia energy projects www.terna-energy.gr Terna Energy SA Constructs and operates TENERGY-GR ATSE 10/15/07 $15.80 $434.1 11/14/07 $16.19 2.5% $1,178.5 $12.28 $893.7 (5.2%) (11.4%) (28.2%) (24.2%) Athens, Greece wind farms and small www.terna-energy.gr hydroelectric plants
SELECTED PRIVATE FINANCING ACTIVITY ($MM)
Financing Information Investor Information Name Business Description (Brief) Round Date $ Raised Total $ Lead Other Investors Element Labs, Inc. Provides LED video technology for entertainment, Series B 12/20/07 $12.8 $18.8 Expansion Capital Partners Gold Hill Capital Management, Sierra Ventures Austin, TX architectural, and signage applications www.elementlabs.com GreenHunter Energy, Inc. Acquires and develops renewable power and fuels NA 12/20/07 $19.2 $22.7 NA NA Grapevine, TX assets including biomass/power generation, www.greenhunterenergy.com biodiesel, ethanol, geothermal, solar, and wind Purfresh, Inc. Provides clean technology solutions for food and Series C 12/20/07 $25.0 $47.0 Chilton Investment Company Foundation Capital, Chrysalix Energy, Grauer Livermore, CA water, including ozone-based applications for cold Brothers Capital www.novazone.net storage and disinfection CeeLite LLC Provides light emitting capacitor (LEC) technology NA 12/19/07 $4.0 $9.5 The Musser Group NA Blue Bell, PA www.ceelite.com Second Wind, Inc. Provides electronics and software for the utility-scale Series B 12/18/07 $4.0 NA Good Energies Inc. NA Somerville, VA wind energy industry www.secondwind.com Validus DC Systems Provides integrated direct current power Series A 12/17/07 $10.0 NA Oak Hill Venture Partners NA Brookfield, CT infrastructure for datacenters and www.validusdc.com telecommunications facilities Lilliputian Systems Develops micro-fuel-cell-based power supplies for Series C 12/14/07 $20.0 $59.8 NA Kleiner Perkins Caufield & Byers, Atlas Venture, Woburn, MA handheld electronics Rockport Capital Partners, DAG Ventures www.lilliputiansystemsinc.com Energy and Power Solutions, Inc. Provides Rebate XChange to identify, qualify, Series A 12/12/07 $20.0 NA NGEN Partners, Rabco Private Equity NA Costa Mesa, CA maximize, and deliver available rebates and www.energynpower.com incentives for an organization's capital projects SolarEdge Technologies Ltd. Provides power-harvesting solutions for photovoltaic Series A 12/09/07 $11.7 $11.7 Walden International, Genesis NA Herzeliya, Israel arrays Partners, Opus Capital www.solaredge.com groSolar Offers solar electric, hot water and hot air systems Series B 12/06/07 $10.0 $12.3 NGP Energy Capital Management SJF Ventures, Calvert Group, Allco Finance White River Junction, VT for homes and businesses Group www.grosolar.com International Battery, Inc. Provides lithium cobalt oxide cells and lithium iron NA 12/05/07 $25.0 NA Digital Power Capital NA Oakland, NJ phosphate cells www.internationalbatteryinc.com Oak Creek Energy Systems, Inc. Develops, constructs and operates wind energy Series A 12/03/07 $16.6 $16.6 Marubeni Corporation NA Mojave, CA projects www.oces.com Plasco Energy Group, Inc. Developing plasma gasification technology for the NA 12/03/07 $39.6 NA First Reserve Corporation Black River Asset Management, Hera Holdings Ottawa, ON conversion of municipal solid waste and other feed www.plascoenergygroup.com stocks into energy Bac2 Produces conductive polymer composites for use in NA 11/26/07 $4.1 $5.1 London Seed Capital Limited, London NA Southampton, UK fuel cell bipolar plates Business Angels www.bac2.co.uk Optimum Energy LLC Develops networked building control applications Series B 11/26/07 $5.0 NA Columbia Pacific Management NA Seattle, WA and products to reduce energy consumption in www.optimumenergyco.com commercial buildings ACME Tele Power Ltd. Provides energy savings solutions and products to Series A 11/20/07 $50.0 $50.0 DB International (Asia) Ltd. Earthstone Holdings Pvt Ltd, Kotak Mahindra Gurgaon, India worldwide telecommunications companies Capital Company Ltd. www.acme.in M2E Power, Inc. Offers solutions to generate and store power in Series A 11/16/07 $8.0 NA OVP Venture Partners @Ventures, Highway 12 Ventures Boise, ID military and consumer mobile devices www.m2epower.com Pragmatic Environmental Solutions Designs, develops, builds and fabricates skid Series A 11/15/07 $8.0 $8.0 UTI Ventures NA Roanoke, VA mounted liquid chemical recovery and recycling www.pescova.com equipment Tekion, Inc. Develops and markets micro fuel cells for portable NA 11/14/07 $6.3 NA NA NA Burnaby, BC electronic products www.tekion.com SiXtron Advanced Materials Inc. Developing advanced silicon carbide thin film Series A 11/07/07 $10.9 NA Ventures West Management Fonds d'investissement en développement Burnaby, BC deposition process durable, Innovatech Quebec, iNovia Capital www.tekion.com
SAVVIAN, LLC 150 CALIFORNIA STREET, SAN FRANCISCO, CA 94111 | www.savvian.com | 415.318.3600 SELECTED PRIVATE FINANCING ACTIVITY, CONT’D ($MM)
Financing Information Investor Information Name Business Description (Brief) Round Date $ Raised Total $ Lead Other Investors Vaperma Inc. Develops and manufactures hollow fiber polymeric Series B 11/07/07 $23.5 $29.7 Low Carbon Accelerator BDC Venture Capital, Volvo Technology St-Romuald, QC membranes for applications such as fuel-grade Transfer AB, Emerald Technology Ventures, www.vaperma.com ethanol and methane recovery from biogas Fonds d'investissement en développement XJet Ltd. Provides deposition tools for solar cell Series A 11/06/07 $9.0 $9.0 NA Geminidurable Israel Funds, Spirox Corp., Good Israel manufacturers, focusing on the solar fab Energies
US Canadian Biofuels, Inc. Manufactures ethanol Series A 11/05/07 $15.0 $15.0 Green World Energy Corporation NA Green Bay, WI www.uscbiofuels.net LED Lighting Fixtures, Inc. Offers LED products NA 11/02/07 $16.5 NA Digital Power Capital NA Morrisville, NC www.llfinc.com Atraverda Ltd. Develops and distributes energy solutions through Series B 10/31/07 $21.6 $33.6 BI New Energy EnerTech Capital, Wales Fund Managers, Abertillery, UK advanced materials used for primary applications in Sagentia Group AG, Espírito Santo Tech www.atraverda.com bi-polar battery products Ventures, Chord Capital, OnPoint Tech. One Earth Energy LLC Produces and sells ethanol and distillers grains in Series A 10/31/07 $50.8 $50.8 REX Stores Corp. NA Gibson City, IL the United States www.oneearthenergy.com Sequoia Energy, Inc. Develops large-scale wind power projects in North NA 10/31/07 $16.8 NA Good Energies Investments BV NA Winnipeg, MB America www.sequoia-energy.com Green Volts, Inc. Provides utility-scale solar power solutions Series A 10/30/07 $10.0 NA Greenlight Energy, Inc. Avista Ventures San Francisco, CA incoporating concentrating photovoltaic systems www.greenvolts.com Optimal Technologies Intl. Inc. Provides supply and demand side electric power grid Series B 10/30/07 $13.0 NA Goldman Sachs NA Bridgetown, Barbados optimization, analysis software, and automation www.otii.com systems Unidym, Inc. Develops carbon nanotubes for the thin-film solar Series C 10/29/07 $10.1 NA Arrowhead Research Corp. Battelle Memorial Institute, TEL Venture Capital Pasadena, CA and other industries www.arrowres.com/splash-nano EOLFI SA Buys, develops, finances, builds, and operates wind Series A 10/26/07 $25.9 $25.9 Veolia Environnement SA NA Paris, France farms in Europe www.eolfi.com A123Systems Inc. Manufactures high-power lithium-ion batteries and NA 10/22/07 $30.0 $132.0 CMEA Ventures GE Commercial Finance Watertown, MA systems www.a123systems.com Planar Energy Devices, Inc. Provides solid state thin-film and large format Series A 10/22/07 $4.0 NA Battelle Ventures, Innovation Valley NA Orlando, FL batteries for commercial and OEM applications Partners www.planarenergy.com BioFuelBox Corp. Offers technologies to produce biofuels from waste Series A 10/19/07 $9.5 NA Draper Fisher Jurvetson, Element NA Hollister, CA feedstocks Venture Partners www.biofuelbox.com Moser Baer Photovoltaic Ltd. Manufactures crystalline solar cells, modules, and Series D 10/19/07 $101.2 $172.8 IDFC Private Equity CDC Group plc, GIC Special Investments, New Delhi, Delhi systems Infrastructure Development Finance Co. Ltd. www.moserbaerpv.in Regen Powertech Private Limited Manufactures wind turbines Series A 10/18/07 $25.0 $25.0 Future Capital Holdings NA Chennai, India www.regenpowertech.com Altela, Inc. Offers a transportable, containerized, and integrated Series A 10/17/07 $7.1 $25.0 CSS Income Trust NA Albuquerque, NM water desalination/decontamination system www.altelainc.com GridPoint, Inc. Developer of intelligent energy management Series D 10/17/07 $48.5 $88.0 Goldman Sachs Group, New Enterprise Associates, Perella Weinberg Washington, DC products to ensure backup power and integrate Susquehanna Private Equity Partners, Robeco Group N.V www.gridpoint.com renewable energy SiC Processing AG Provides mechanical wet-cutting technologies for the NA 10/17/07 $75.8 NA Zouk Ventures Ltd. Merrill Lynch, Core Capital Partners, Masdar Hirschau, Germany semiconductor and photovoltaic wafer industries Clean Tech Fund, Foursome Investments www.sic-processing.com Novomer, Inc. Provides renewable green plastics, polymers and Series A 10/15/07 $6.6 NA Physic Ventures, Flagship Ventures DSM Venturing Ithaca, NY chemical products www.novomer.com TPI Composites, Inc. Manufactures composite structures for wind energy, Series A 10/11/07 $22.0 $22.0 NGP Energy Capital Management Landmark Partners, Angeleno Group Warren, RI transportation and military vehicle markets www.tpicomposites.com Innovalight Develops thin-film solar modules based on a silicon- Series C 10/11/07 $28.0 $42.0 Convexa Capital Scatec AS, Apex Partners, Sevin Rosen Funds, Santa Clara, CA ink process for residential and commercial Arch, Harris & Harris, Triton Ventures www.innovalight.com applications LS9, Inc. Produces biofuels intended to have higher energetic Series B 10/09/07 $15.0 $20.0 Lightspeed Venture Partners Flagship Ventures, Khosla Ventures San Carlos, CA content than ethanol or butanol www.ls9.com Perpetuum Ltd. Offers integrated micro-electrical-mechanical Series B 10/09/07 $10.2 $14.0 Environmental Technologies Fund Quester Capital Management, Top Technology Southampton, United Kingdom systems (MEMs) that generate power by harvesting Ventures www.perpetuum.co.uk vibrational energy from their surroundings ChromoGenics Sweden AB Manufactures plastic foils with throughputs of light Series D 10/03/07 $6.0 NA Industrifonden Volvo Technology Transfer AB, Uppsala, Sweden that can be changed by an electrical voltage Innovationsbron www.chromogenics.se Everpower Renewables Corp. Develops wind projects in the Northeastern and Mid- NA 10/02/07 $55.0 NA Good Energies Investments BV NA New York, NY Atlantic regions of the United States www.everpower.com LedEngin, Inc. Provides ultra-high-brightness LEDs and light source Series C 10/01/07 $11.0 NA Partech International WK Technology Fund Santa Clara, CA modules www.ledengin.com
SAVVIAN, LLC 150 CALIFORNIA STREET, SAN FRANCISCO, CA 94111 | www.savvian.com | 415.318.3600 PRIVATE FINANCING ANALYTICS – DEALS BY SEGMENT
$300 9 9 10 Value ($MM) Deals $250 $267 7 7 8 $200 6 5 6 $150 4 $173 $161 $150 $129 4 $100 Value ($MM) Value $50 2 Deals Numberof $50 $47 $0 0 Solar Biofuels Wind Efficiency Storage Lighting Other
Percent of Deals by Segment Percent of Value by Segment Other Other Lighting 9% Solar 5% 5% 18% Solar Lighting Storage 27% 11% 13%
Wind 13% Storage 19% Efficiency 15% Biofuels 18% Efficiency Biofuels Wind 15% 15% 17%
MERGER & ACQUISITION ANALYTICS – DEALS BY SEGMENT $5,000 16 14 Value ($MM) Deals 14 $4,000 $4,362 12 $3,000 10 6 8 $2,000 6 4 Value ($MM) Value $236 4 $1,000 $1,354 Deals Numberof 1 2 $578 $0 0 Wind Biofuels Solar Storage Percent of Deals by Segment Percent of Value by Segment Storage Storage 4% Solar 4% Biofuels 9% 16%
Biofuels 21% Wind 56% Solar Wind 24% 66% Source: Cleantech Venture Network, CapIQ, DealLogic, and company press release. Data compiled by Savvian. SAVVIAN, LLC 150 CALIFORNIA STREET, SAN FRANCISCO, CA 94111 | www.savvian.com | 415.318.3600 SELECTED FOURTH QUARTER SAVVIAN TRANSACTIONS
Acquisition of Acquired by Acquired by Acquired by
Mobile Services Business Unit
We advised the buyer We advised the seller We advised the seller We advised the seller December 2007 December 2007 December 2007 December 2007
Acquired by Acquisition of Acquired by Acquired by
We advised the seller We advised the buyer We advised the seller We advised the seller December 2007 December 2007 November 2007 October 2007
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