Siemens to expand competence in solar business

cquisition of stake in Italian solar thermal specialist Archimede Solar Energy (ASE)

Erlangen, Siemens Energy is to acquire a 28 percent stake in the Italian solar company Archimede Solar Energy S.p.A. and thus expand its competencies for solar thermal power plants. ASE is the sole producer of solar receivers operating with molten salt as the heat transfer fluid. Siemens is market leader in steam turbine-generators for solar thermal power plants. By combining these two technologies Siemens wants to enhance the efficiency of these plants and further reduce the production costs for solar power. The two companies did not disclose the purchase price of the shares.

“By acquiring a stake in Archimede Solar Energy Siemens is underlining its intention to become the leading provider of solutions for solar thermal power plants,“ said René Umlauft, CEO of the Siemens Renewable Energy Division. “In the upcoming years the market for solar thermal power plants will grow at a rapid pace and the interest of our traditional customers in the energy sector in this promising future-oriented technology will increase significantly.” The market for solar thermal power plants will according to Siemens estimates show double-digit growth rates per year to reach a volume of over ten billion euros by 2015.

Archimede Solar Energy is a subsidiary of the industrial group Angelantoni Industrie, S.p.A. and is headquartered in Massa Martana in Umbria. The revenues posted by Archimede Solar Energy, which were in the single-digit million range in 2008, are slated to increase significantly after joining forces with Siemens. Siemens will provide capital for fast expansion of production capacities, with the possibility to acquire a majority stake in the solar company in the mid-term.

“We chose Siemens Energy as our Partner to enable us to better match the tremendous growth we are expecting in the solar thermal power sector worldwide”, said Gianluigi Angelantoni, President of Archimede Solar Energy. “Construction of a new factory for the production of solar receivers, which is scheduled to be up and running in 2010, will begin before the end of this year.”

Archimede Solar Energy is the world’s only company that uses molten salt as heat transfer fluid in its solar receivers for parabolic-trough power plants. Compared to plants using the customary thermo oil the efficiency of solar thermal power plants can thus be significantly enhanced.

Siemens is already market leader in the supply of steam turbine-generators for solar thermal power plants. To date, Siemens has secured more than 40 orders for these key components. With the partial acquisition of Archimede Solar Energy Siemens will now significantly expand its steam cycle know-how for solar power plants. At the same time Siemens will further consolidate its position as one of the leading companies in renewables-based power plant technology.

Products for solarthermal power plants are an important feature of Siemens environmental portfolio. In 2008, revenue from the products and solutions of Siemens environmental portfolio was nearly EUR19 billion, which is equivalent to around a quarter of Siemens total revenue.

The Siemens Energy Sector is the world’s leading supplier of a complete spectrum of products, services and solutions for the generation, transmission and distribution of power and for the extraction, conversion and transport of oil and gas. In fiscal 2008 (ended September 30), the Energy Sector had revenues of approximately EUR22.6 billion and received new orders totaling approximately EUR33.4 billion and posted a profit of EUR1.4 billion. On September 30, 2008, the Energy Sector had a work force of approximately 83,500. Further information is available at: www.siemens.com/energy.

The Angelantoni Industrie Group was established on 1932 and has a workforce of 750 employees at eight manufacturing plants in Italy, France, Germany, India and China. It posts annual revenues totaling EUR130 million revenues. The two traditional core businesses are biomedical and laboratory equipment, and test equipment for automotive, electronics and aerospace applications. The test equipment includes environmental test chambers, space simulators for satellites, car and car component test benches, and electrodynamic shakers (www.angelantoni.it)