Bosch’s €546.4 million bid for ersol

In another big move by a major industrial corporation in the solar renewable energy sector, Stuttgart, Germany-based Bosch today announced a €546.4 million majority takeover bid for Erfurt, Germany-based ersol Solar Energy AG [ed. lowercase "ersol" is correct.]

In an agreement with financial investor Ventizz, Bosch is offering 101 euros per share, a 68 per cent premium based on the weighted average XETRA and floor-trading share price of the past three months.

When final, the agreement will give Bosch a 50.45 per cent stake in the solar photovoltaic manufacturer—an acquisition Bosch says is subject to approval by antitrust authorities.

Bosch says it will also make a public cash offer at the same price to ersol Solar Energy shareholders.

According to Franz Fehrenbach, Bosch’s chief executive, the acquisition is a chance for the company to further expand its renewable energies business—a business unit that Bosch anticipates will generate 750 million euros of sales in 2008.

The German company already manufactures solar collectors for hot-water generation and is working with Ludwigshafen-based BASF SE and Dresden-based Heliatek GmbH in developing cost effective and versatile organic photovoltaics.

ersol Solar Energy AG develops, manufacturers and sells wafer-based silicon solar cells and is moving into the manufacture of thin-film modules.

Earlier this year, Solon of Berlin announced an 11-year supply agreement with ersol Solar (see Solon getting more cells from ersol).

In 2007, the German PV company says it generated global sales of 160 million euros, and it expects more than 300 million euros in 2008.