05/30/2017 08:30:00 CEST
- Initial downpayment of EUR 64.3 million received for CIGS orders
- Cash flow positive realization of orders thanks to corresponding downpayment agreements
Manz AG, a globally active high-tech equipment manufacturer with a comprehensive technology portfolio in its three strategic segments of Solar, Electronics, and Energy Storage, has received the first downpayment of EUR 64.3 million in connection with the major CIGS orders. The receipt of the payment gives the green light for implementation of the major orders totaling EUR 263 million which include a 44 MW CIGS R&D line and a 306 MW CIGS turnkey production line (CIGSfab) for series production of CIGS thin-film solar modules. Due to further downpayment agreements for the CIGS R&D line and the CIGSfab throughout the course of the project, these orders will be realized cash flow positive. The orders will contribute to revenue and profits as from this second quarter of 2017.
Manz AG had received both major orders at the start of 2017 within its strategic cooperation with its Chinese partners, the Shanghai Electric Group and the Shenhua Group. The aim of the cooperation is to speed up the development of Manz's CIGS technology, and to boost the marketing of it also in China. Two joint enterprises were founded for this purpose: while NICE PV Research Ltd. focuses on R&D activities, Suzhou Manz New Energy Equipment Co.,Ltd. is now solely responsible for the marketing activities in China, and it will provide the engineering services for future projects as well as providing support in their start-up phases. Both companies already started their operations in April.
Manz AG had already made all the necessary preparations over recent months in anticipation of the agreed downpayment, so the implementation of the orders can now begin straight away. Manz AG's sites in Germany, Slovakia and Asia are involved in the work on the orders.
Dieter Manz, the CEO and founder of Manz AG, comments as follows: "The receipt of the payment gives us the green light for executing the first major projects and for generating the corresponding revenues thanks to our unique cooperation with our Chinese partners. We are delighted that we are now setting to work, and we think there are good prospects of further attractive follow-on orders resulting from our cooperation in future."