Acro Energy Announces Los Angeles Area Expansion
August 17, 2009 – Houston, TX – Acro Energy Technologies Corp. (TSX Venture: ART) a leading residential solar installation company, has signed a Letter of Intent to acquire Energy Efficiency Solar, Inc. (“EE Solar”) of Pomona, California.
Under the Letter of Intent, Acro Energy would acquire all of the issued and outstanding common shares of EE Solar for a purchase price of $1,950,000 consisting of a combination of cash, a promissory note, common stock in Acro Energy, and assumption of EE Solar debt.
EE Solar is a full-service solar energy company, installing residential and commercial solar systems in Los Angeles, Orange, and San Bernardino Counties since 1989. EE Solar generated approximately $4.2 million in revenue in 2008, servicing customers from its offices in Pomona and Orange. Bill Korthof is the President of EE Solar today and will join the Acro Energy team.
“We are excited about adding Bill Korthof and EE Solar to Acro Energy,” said Harry Fleming, Chief Executive Officer at Acro Energy. “The acquisition of EE Solar is the first step in Acro Energy’s movement into Southern California. We believe that EE Solar and Acro Energy will build on each other’s strengths. This transaction is consistent with Acro Energy’s strategy of acquisition of leading independent solar installation companies, in addition to organic growth,” added Fleming.
“Southern California promises to be a strong growth market for us,” said Nat Kreamer, President (Interim) of Acro Energy. “Together, Bill Korthof and the team at EE Solar have a solid foundation for profitably delivering our high level of service to consumers planning to save money by going solar in the Los Angeles metro region.”
Completion of the transaction is subject to a number of conditions, including negotiation and execution of a definitive acquisition agreement, completion by Acro Energy of a satisfactory due diligence review of EE Solar, receipt of all necessary contractual, regulatory and governmental consents and approvals, the absence of any material adverse change affecting EE Solar, and any necessary approval of the transaction by the TSX Venture Exchange.
About Acro Energy
Acro Energy Technologies Corp. is focused on the consolidation and growth of renewable energy companies, primarily in the United States residential solar energy installation market. Acro Energy continues to evaluate suitable acquisition candidates across North America.
On Behalf of the Board of Directors,
Douglas A. Samuelson, Executive Vice President
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This news release may contain “forward-looking statements” within the meaning of applicable securities laws. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. The Company assumes no obligation for the accuracy or completeness of those forward looking statements and undertakes no obligation to revise these forward looking statements to reflect subsequent events or circumstances. Readers are cautioned not to place undue reliance on the forward-looking statements made in this Press Release.