VANCOUVER, BC–(Marketwired – May 02, 2017) – Solar Alliance Energy Inc. (‘Solar Alliance’) or (the ‘Company’) (TSX VENTURE: SAN) (OTCQB: SAENF) is pleased to announce it has installed the Company’s first solar system as part of the recently completed acquisition of a Los Angeles solar sales team and project pipeline. Additionally, the integration of the sales team and the project pipeline are moving forward according to plan and will result in a positive revenue increase. Concurrently, the Company is assessing other acquisition opportunities in several different markets. Solar Alliance is confident its marketing and outsourced installation models are ideally built to facilitate rapid expansion through organic growth and the acquisition of distressed assets.
“The acquisition of the Los Angeles-based sales team is a transformative transaction for our company as we have tripled the size of our team in a short period of time,” said Chairman and CEO Jason Bak. “The Los Angeles team is now fully trained on Solar Alliance systems and processes and has begun selling residential systems. Our next step will be expanding both San Diego and Los Angeles sales teams to ensure we take full advantage of these attractive markets.”
The Company acquired 156 residential solar projects, or approximately 780 kilowatts, as part of the acquisition which are all in the installation process. The Company estimates it will generate approximately US $2,800,000 in gross revenue and up to US $1,585,000 in accretive gross profit from the acquired pipeline when the projects are installed in the next 60-90 days. This revenue is in addition to the Company’s ongoing sales operations in Southern California.
“We are working diligently to move these solar projects through the installation phase in order to generate cash flow as soon as possible,” said CFO Eric Knutzen. “Our model of utilizing installation partners instead of carrying excess costs and overhead will result in faster installation times and high gross margins for these projects. We believe this acquisition will pay for itself in the short term while generating significant sales revenue in the long term.”
The next stage in the Company’s expansion strategy involves aggressively recruiting additional sales staff for our San Diego and Los Angeles operations and assessing other acquisition opportunities in several different markets. Our objective is to facilitate rapid expansion through organic growth and the acquisition of distressed assets while generating a positive net income in 2017.
Jason Bak, Chairman and CEO
About Solar Alliance Energy Inc. (www.solaralliance.com)
Solar Alliance is a sales, marketing and development company focused on residential, commercial and industrial solar installations. Since we were founded in 2003, we have developed wind and solar projects that provide enough electricity to power 150,000 homes. Solar Alliance is committed to an exceptional customer experience, effective marketing campaigns and superior lead generation in order to drive sales and generate value for shareholders. Our passion is improving life through ingenuity, simplicity and freedom of choice. We make solar simple and our goal is to install solar on every available rooftop in America.
Statements in this news release, other than purely historical information, including statements relating to the Company’s future plans and objectives or expected results, constitute Forward-looking statements. The words “would”, “will”, “expected” and “estimated” or other similar words and phrases are intended to identify forward-looking information. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, level of activity, performance or achievements to be materially different than those expressed or implied by such forward-looking information. Such factors include, but are not limited to: uncertainties related to the ability to raise sufficient capital, changes in economic conditions or financial markets, litigation, legislative or other judicial, regulatory and political competitive developments and technological or operational difficulties. Consequently, actual results may vary materially from those described in the forward-looking statements.
“Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.”
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For more information:
Solar Alliance Investor Relations
Spyros Karellas
Pinnacle Capital Markets
(416) 433-5696
[email protected]
