Meyer Burger focuses on module production in Arizona, initiates extensive restructuring measures | 08.26.24

Ad hoc announcement pursuant to Art. 53LR
Thursday, August 26, 2024

Meyer Burger focuses on module production in Arizona, initiates extensive restructuring measures

• Construction of a solar cell manufacturing facility in Colorado Springs, Colorado, is currently not financially feasible and has been postponed
• Meyer Burger is focused on operating its 1.4 gigawatt nominal module production capacity in Goodyear, Arizona, which is currently being scaled up
• The previously intended debt financing via the monetization of so-called 45X tax credits will be pursued at a lower volume. Meyer Burger expects significantly lower remaining financing needs and a lower profitability target in the medium term
• A restructuring program is being prepared to achieve sustainable profitability

Meyer Burger Technology AG announced today that the planned construction of a production facility for solar cells in Colorado Springs, Colorado, USA, is no longer financially viable for the company due to recent developments and that the project will therefore be discontinued. The planned cooperation with a US technology group will not be implemented at this time in view of the revised strategy.

As part of this realignment, Meyer Burger is focusing on the 1.4 gigawatt nominal capacity of the module production plant in Goodyear, Arizona, USA, which is already largely installed and in the start-up phase. The existing cell production site in Thalheim (Bitterfeld-Wolfen), Germany, remains fully operational and will – contrary to previous plans – continue to form the backbone of Meyer Burger’s solar cell supply. Under current market conditions, these solar cells are the most economical option for supplying module production in Goodyear. With this arrangement, the company expects to be able to serve the existing long-term purchase contracts and fully utilize the production capacity in Goodyear. The expansion of the nominal module production capacity in Goodyear by a further 0.7 gigawatt has been put on hold for the time being and remains an option that the company will decide on as part of the upcoming restructuring program and subject to the progress of ongoing discussions with customers.

The debt financing previously pursued through the monetization of 45X tax credits will continue on a limited basis, aligned with module production in the US. As a result of these changes, the Board of Directors expects the Company’s financing needs to be significantly lower and the financing gap remaining after the capital increase in April 2024 will be reduced. The Group’s medium-term EBITDA target and debt ratio are also expected to be significantly lower than previously anticipated.

In connection with the strategic changes, the Board of Directors has instructed Management to draw up a comprehensive restructuring and cost-saving program. This should take into account the reorientation and thus lead to sustainable profitability.

In order to reflect the changes to the half-year figures announced today in accordance with applicable regulations, Meyer Burger is postponing the publication of the previously announced half-year results for September 16, 2024 until September 30, 2024 or, subject to SIX Exchange Regulation approval, until a later date.

In addition, Mark Kerekes, Member of the Board of Directors, has announced his resignation as a member of the Board. The reorganization of the company requires a new composition of the Board of Directors. “We would like to thank Mark Kerekes for his very constructive cooperation and important contributions during his membership of the Board of Directors,” said Franz Richter, Chairman of the Board of Directors of Meyer Burger.

Media Contacts

Meyer Burger Technologie AG
Anne Schneider
Head of Corporate Communications
M. +49 174 349 17 90
[email protected]

Alexander Muller
Investor Relations
M. +41 43 268 3231
[email protected]