A Newark-based software developer and system integrator has signed a letter of intent to acquire a South Carolina-based renewable energy company, it announced Monday.
Arkados Group Inc., which focused on the Internet of Things, said in a news release that it will pay $15 million in cash, debt and stock for substantially all the assets of Charleston-based SolBright Renewable Energy LLC. The deal includes a backlog of about $40 million in projects and a pipeline of additional projects, Arkados said.
“The SolBright team has built a great renewable energy business by delivering superior service to Fortune 500 and other commercial, industrial and military customers,” Arkados CEO Terrence DeFranco said in a prepared statement. “This acquisition allows us to greatly scale and diversify our services business, add significant current and future revenues and cash flows, and expand the penetration of our smart building solutions based on our Arktic software platform into a blue-chip customer base.”
SolBright provides turnkey development, engineering, procurement and construction services for commercial, industrial and military solar markets.
“The solar market is poised for explosive growth over the next five years and beyond, and this combination positions Arkados to capitalize on the tremendous growth in renewables and the Internet of Things,” DeFranco said.
The deal is expected to close by March 31, subject to customary conditions and approvals.