(Bloomberg) — Solar3D Inc., a U.S. solar provider that
just acquired system installer MD Energy LLC, plans to continue
expanding by buying more companies.
Solar3D may seek additional capital for deals as soon as
next year, depending on the size of its 2015 acquisitions, Chief
Executive Officer Jim Nelson said Wednesday in an interview at
Bloomberg News headquarters in New York. Potential targets
include California- and Nevada-based solar-integration companies
with between $10 million and $30 million in annual sales.
“We can grow forever in those two markets, and when we
build critical mass, then look elsewhere,” Nelson said. “What
we want is a team that will come on board and continue to run
their company as a division for us.”
Solar3D is raising about $12.5 million, selling 3 million
shares at $4.15, the Santa Barbara, California-based company
said in a statement Wednesday. Each share comes with a warrant
to purchase another share at the same price.
Cowen & Co. arranged the offering. The company trades on
the Nasdaq under the symbol SLTD.
Solar3D fell 46 percent to $3.10 at the close in New York.
“Virtually all of the funds that we got in the offering
are going to be used for additional acquisitions,” Nelson said.
Solar3D had about $20 million in sales last year and is
expected to generate between $40 million and $45 million in 2015
as the company remains cash-flow positive, Nelson said. U.S.
solar demand this year may exceed 8.5 gigawatts, according to
data compiled by Bloomberg New Energy Finance.
“Being on Nasdaq gives you cache and credibility, and the
quality companies will see that and be interested in coming
aboard,” Nelson said.
(An earlier version of this story corrected the description
of MD Energy in the first paragraph.)
To contact the reporter on this story:
Justin Doom in New York at
To contact the editors responsible for this story:
Reed Landberg at
Jim Efstathiou Jr., Will Wade