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Thursday, January 25, 2007

Solarvalue to proceed without Strategic Partners

Solarvalue AG (XETRA:SV7) (http://www.solarvalue.com) announced Adjusted Business Plan offers new opportunities and guarantees Solarvalue AG's independence on the DGAP ad hoc service. Solarvalue says that less money is needed to convert the facility to solar grade silicon production, and they have more capital from recent share placements and a new arrangement with partner W&P Profil d.o.o.

I have sent a request to Solarvalue for further clarification of their new arrangement with W&P Profil. I don’t think the press release was clear on this.

It is hard to gauge the impact of this adjustment. Could suitable terms not be reached with the strategic partners? Conspiracy theorists will propose other plausible explanations. I know I thought the original plan ceded too much ownership to the strategic partners for their small equity investment.

Later in the press release, Solarvalue explains the M6 arc furnace will first be converted to solar grade silicon production instead of M5. If you read Solar Grade Silicon roads lead to Ruše - Part 2, you know that M6 is supposed to require modifications to rotate for ideal metallurgical silicon production. After two months since the original schedule was announced, production has slipped by a quarter to the third quarter (3Q) 2007. Solarvalue will need to execute on the new schedule before their claim of 850 metric tons of 2007 production is credible.

If Solarvalue does not require strategic partners, the pressure is on for them to sign silicon supply contracts to pre sell a portion of their solar grade silicon production. The would be strategic partners are prime candidates.

I am pressed for time this morning, but I will post a follow up article early next week.

2 Comments:

Anonymous Klammrot said...

My opinion:


I think, SV7 is "Out!"

I have never see a desaster like this! No sensitivity, no concrete statements, putting off and no good plan.

"If Solarvalue does not require strategic partners, the pressure is on for them to sign silicon supply contracts to pre sell a portion of their solar grade silicon production. The would be strategic partners are prime candidates."

I Ihink, nobody will give money! The management is too bad!

I have never seen a company like this! Everything lies, in my opinion!


Again, my opinion:

SV7 is out!!!

3:51 AM  
Anonymous SPM said...

I'll do even take no notice about Solarvalue.com, as the process of producing of solar grade silicon needs tecnology which is lacking in metalurgical facilities in Slovenia.

6:25 AM  

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