PowerSecure said today it has acquired Lime Energy’s energy services company (ESCO) support business, which serves major ESCOs in delivering energy efficiency upgrades for large facilities, for $1.9 million in cash. PowerSecure also will assume approximately $9.9 million of net liabilities related to existing projects, resulting in an effective purchase price of approximately $11.8 million.
PowerSecure takes over approximately $27 million of projects previously awarded to Lime Energy and expects to recognize the revenue and profit from these projects as they are completed.
Lime Energy, a provider of energy efficiency solutions for utilities, completed this sale as part of its increased focus on utility direct install programs, the fastest growing segment of the energy efficiency space. With nine active small business direct install programs for utilities, Lime has delivered more than $100 million in incentives and 405,000 MWh to utility small business customers in the past three years.
“We are excited to serve major energy services companies in their delivery of energy efficiency solutions to customers coast-to-coast. In addition to taking over existing projects, we are also excited about the strong pipeline of potential new projects Lime’s team has developed,” said Sidney Hinton, chief executive officer of PowerSecure.
“The addition of Lime Energy’s proven ESCO business provides additional capabilities that complement our existing best-in-class energy efficiency offerings and opens new potential channels for our LED lighting, distributed generation and utility infrastructure solutions,” Hinton added.
With the acquisition, PowerSecure adds to its portfolio of energy efficient facility technologies and expertise, which now includes lighting solutions, HVAC system upgrades, building envelope upgrades, transformer efficiency upgrades and water conservation systems. The business serves ESCOs by providing energy efficiency solutions across a range of facilities, including high-rise office buildings, distribution facilities, manufacturing plants, retail sites, mixed use complexes, large government sites and small, local facilities.Tagged with tED