Solar Thin Films Enters into Agreement to Acquire BudaSolar Technologies -Solar Thin Films Gains Technology Expertise and New Order Pipeline-
Solar
Thin Films Enters into Agreement to Acquire BudaSolar
Technologies
-Solar
Thin Films Gains Technology Expertise and New Order
Pipeline-
XXX
HILLS, NY - October 3, 2008 - Solar Thin Films, Inc. (OTC BB:SLTN), a developer,
manufacturer and marketer of manufacturing equipment for the production of
"thin-film" amorphous silicon photovoltaic modules, has, through Kraft
Elektronikai Zrt (“Kraft”), its wholly-owned main operating subsidiary, signed a
definitive stock exchange agreement to acquire BudaSolar Technologies Co. Ltd.
(“BudaSolar”). BudaSolar, headquartered in Budapest, Hungary, designs and
markets turnkey systems for the production of “thin-film” amorphous silicon
solar modules.
In
addition to Xxxxx and XxxxXxxxx, other parties to the stock exchange agreement
are Xxxxxx Xxxxxxxx, president of BudaSolar, Xxxxxx Xxxxxxx, chief operating
officer of BudaSolar, New Palace Investments Ltd., wholly owned by Krafcsik
and
Xxxxxxx (Krafcsik, Xxxxxxx and New Palace Investments, collectively the
“BudaSolar stockholders”).
The
stock
exchange agreement consolidates ownership of BudaSolar by Kraft (to be renamed
STF Technologies, Ltd. upon the closing of the stock exchange) which management
believes will strengthen the engineering team, bring new development
capabilities in-house, and expand the ability to install and commission turnkey
systems.
Under
the
terms of the exchange agreement, Kraft will acquire from the BudaSolar
stockholders 100% of the outstanding share equity capital of BudaSolar in
exchange for 40% of the outstanding capital stock or share capital of Kraft
to
the BudaSolar stockholders. Closing is scheduled to occur on or before February
20, 2009 and is subject to certain customary conditions, including the company’s
receipt of not less than $3.0 million in net proceeds from a public or private
financing which shall be used to provide all or a portion of the share capital
increase to Kraft.
“Combining
forces with XxxxXxxxx is designed to advance both our goal of becoming a leader
in supplying cost-effective “thin-film” photovoltaic module manufacturing
equipment and our transition from lower margin equipment sales to higher margin
‘turnkey’ system sales,” said Xxxxx Xxxxx, chief executive officer of Solar Thin
Films. “BudaSolar personnel bring extensive expertise in the design,
installation and commissioning of turnkey amorphous silicon lines which produce
“thin-film” amorphous silicon photovoltaic modules. By joining together, Solar
Thin Films is positioning itself to command leading-edge technical expertise
in
the development of amorphous silicon and micro-crystalline/amorphous tandem
cells, as well as gain access to a strong pipeline of new business. Our combined
expertise - their process knowledge and our equipment base - will help
differentiate us in the marketplace.”
This
press release is not a complete description of the stock exchange agreement
and
the transactions contemplated therein. For additional information, a copy of
the
agreement and related transaction documents can be found in Solar Thin Film’s
Current Report on Form 8-K filed with the Securities and Exchange Commission
on
October 3, 2008.
About
Solar Thin Films
Solar
Thin Films (xxx.xxxxxxxxxxxxxx.xxx)
develops, manufactures and markets a complete line of manufacturing equipment
for the production of "thin-film" amorphous silicon photovoltaic ("PV") modules,
together with a wholly owned subsidiary based in Budapest, Hungary. Personnel
associated with the company have been responsible for the setup of nearly a
dozen amorphous silicon photovoltaic factories worldwide. The Company sells
both
“turnkey systems” to customers including CG Solar in China and Grupo Unisolar in
Spain, and contracted equipment to customers including EPV Solar (Hamilton,
NJ,
USA). Its line of thin-film photovoltaic manufacturing equipment positions
the
Company to take advantage of the rapidly growing demand for solar modules and
an
expected market shift towards "thin film" PV modules as part of a cost
effective, "clean technology" energy solution.
Forward-Looking
Safe Harbor Statement
Statements
in this news release regarding future financial and operating results, potential
applications of the Company's technology, opportunities for the Company, and
any
other statements about the future expectations, beliefs, goals, plans, or
prospects expressed constitute forward-looking statements within the meaning
of
the Private Securities Litigation Reform Act of 1995. Any statements that are
not statements of historical fact (including statements containing the words
"will," "believes," "plans," "anticipates," "expects," "estimates," and similar
expressions) should also be considered to be forward-looking statements. There
are a number of important factors that could cause actual results or events
to
differ materially from those indicated by such forward-looking statements
including: limited operating history, need for future capital, and economic
conditions generally. Additional information on potential factors that could
affect results and other risks and uncertainties are detailed from time to
time
in the Company's periodic reports, including Forms 10-K, 10-Q, 8-K, and other
forms filed with the Securities and Exchange Commission ("SEC").
These
statements, and other forward-looking statements, are not guarantees of future
performance and involve risks and uncertainties.
Contact:
Xxxxxxx/Xxxxxxxxx
& Associates
212-838-3777
Xxx
Xxxxxxx
xxxxxxxx@xxxx.xxx
