American Superconductor Buys Stake in U.K. Company
August 17, 2010 : Boston Business Journal
American Superconductor Corp. has acquired a 25 percent stake in a U.K.-based designer and manufacturer of wind turbine blades, the company announced Tuesday.
The Devens, Mass.-based company acquired the ownership position in Blade Dynamics Ltd. for $8 million in cash, the company said.
Founded in 2007, Blade Dynamics has developed proprietary blade technologies intended to increase the efficiency and performance of high-power wind turbines, according to American Superconductor.
American Superconductor, which does most of its business in designs and control systems for wind turbines, is developing a 10-megawatt wind turbine that could use blade technology from Blade Dynamics, the company said.
â€œOffshore wind farm developers are increasingly seeking wind turbines with power ratings exceeding 5 megawatts,â€ said American Superconductor CEO Greg Yurek.
The investment could also expand American Superconductor's sales opportunities with other wind turbine manufacturers around the world, the company said.
American Superconductor reported profit of $9.2 million for the three months ending June 30, which is the company's fiscal first quarter. The company saw $1.8 million in profit during the same period in 2009.
American Superconductor also increased its revenue forecast for fiscal 2010, which ends next March 31, from a range of $415 million to $425 million, to a range of $420 million to $430 million.
Most of the company's sales are outside the U.S., with Chinese turbine maker Sinovel Wind Group Co. serving as the company's largest customer by far.
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