This news is classified in: Sustainable Energy Solar Wind
Nov 23, 2015
Solar Wind Energy Tower, Inc. the innovator and creator behind the Solar Wind Downdraft Tower structures capable of producing abundant, inexpensive electricity to meet the world's increasing demand, today announced the Company has closed on a transaction that provided for $600,000 in pre-development land cost and a commitment for an additional $300,000 for pre-development costs, as well as an agreement to defer up to $450,000 in land deposits until closing for the San Luis, Arizona Tower Project. The capital was achieved through the sale of an interest in the Company's subsidiary, Arizona Green Power, LLC.
The Company previously announced that it had retained Aldwych Capital Partners, a special situations boutique investment banking firm, as a key member of their professional advisors to guide the Company on various strategic initiatives relative to their Arizona Green Power Project in San Luis, AZ as well as other Tower Projects in North America and Africa. Aldwych has expertise in matters such as project financing, mergers, acquisitions, and other financing opportunities.
This financing comes exclusively through the sale of an interest in Arizona Green Power, LLC based on an initial total valuation of $22,500,000 for the project, and not from the sale of shares of stock in the Company. After the transaction, the Company continues to retain ownership of the remaining 96% interest in Arizona Green Power, LLC. Through the continued efforts of Aldwych Capital Partners, sale of shares of additional equity in Arizona Green Power, LLC is currently being pursued.
Aldwych has demonstrated its capability of raising pre-development capital by this initial investment and is continuing its efforts to raise an additional $5,000,000 capital for the AZ project to be used to cover the Company's operating and development cost necessary to meet the conditions needed to commence the full construction and development of the project.
Ronald Pickett, Chairman and CEO of Solar Wind Energy Tower, stated, "We are delighted with this initial success by Aldwych Capital Partners and fully supportive of their strategy to close this initial equity investment necessary to secure the project site. We believe that Aldwych's depth of experience within the alternative energy sector along with their strong governmental connections will enable our Company to expand its business and deliver increased shareholder value. It has long been a strategic part of our business plan to surround our Company with very capable Teaming Partners and we look forward to our strategic relationship with Aldwych."
Dan Nicholas, Senior Managing Director of Aldwych Capital Partners stated, "This transaction marks the first steps in the implementation of SWET and Arizona Green Power's strategy. As the energy market continues to demand development in renewable generation, this transaction will serve as cornerstone for further development of the SWET/AGP business plan. We are delighted to continue to work on this unique and exciting opportunity."
