HARTFORD, Conn., Dec. 9 /PRNewswire-FirstCall/ -- United Technologies Corp. (NYSE: UTX) today announced it has agreed to acquire a 49.5 percent stake in Clipper Windpower Plc (CWP.L), a California-based wind turbine manufacturer that trades on the AIM London Stock Exchange.
UTC's total investment will be 166 million pounds sterling (approximately $270 million) to purchase a combination of 84.3 million newly issued shares and 21.8 million shares from existing shareowners. The investment has been approved by the boards of directors of both UTC and Clipper Windpower, and closing is pending Clipper Windpower shareholder and regulatory approval.
Clipper Windpower is engaged in wind energy technology, turbine manufacturing, and wind project development. Headquartered in Carpinteria, Calif., the company has a turbine manufacturing plant in Cedar Rapids, Iowa, and research and development facilities in Carpinteria, Calif., and Blyth Harbor, U.K. The company had 2008 revenues of $737 million.
The agreement allows UTC to expand its power generation portfolio and enter the high-growth wind power segment by investing in a company with strong management and innovative technology. The $50 billion-plus segment for wind turbines and installation has grown at an annual rate of 25 percent during this decade.
UTC expects to work closely with Clipper Windpower to improve the company's core technology, manufacturing, product quality, and supply management capabilities. This investment leverages the world-class expertise of UTC business units in blade technology, turbines and gearbox design. It also builds on UTC's existing portfolio of energy efficient products and power generation systems that respond to the world's growing demand for cleaner, more efficient solutions.
United Technologies Corp., based in Hartford, Connecticut, is a diversified company that provides a broad range of high technology products and support services to the building systems and aerospace industries.
This release includes "forward looking statements" concerning expected revenue, earnings and additional benefits of a transaction that remain subject to uncertainties. Important factors that could cause actual results to differ materially from those anticipated or implied in the forward looking statements include delays in or inability to obtain necessary regulatory approvals on acceptable terms; changes in anticipated economic conditions; the impact of credit market conditions and limited availability of funding on customers' ability to finance wind power projects; challenges in the design, development, production and support of advanced technologies; delays in achieving anticipated cost reductions; and delays and disruption in delivery of materials and services from suppliers. For information identifying other important economic, political, regulatory, legal, technological, competitive and other uncertainties, see UTC's SEC filings as submitted from time to time, including but not limited to, the information in the "Business" section of UTC's Annual Report on Form 10-K, the information included in UTC's 10-K and 10-Q Reports under the heading "Management's Discussion and Analysis of Financial Condition and Results of Operations," and the information included in Current Reports on Form 8-K.
Contact: John Moran, UTC (860) 728-7062 www.utc.com
SOURCE United Technologies Corp.