Wind of change at LCA

31 January 2007

Low Carbon Accelerator (LCA) has increased its equity holding in Proven Energy through a follow on equity investment of £2m and the purchase of share interests with an acquisition value of £2.5m.

The company now holds an aggregate equity stake of 25% in Proven Energy following the transfer to the company of the initial equity investment for £650,000 on LCA’s admission to AIM.

Proven Energy produces small-scale, high-performance wind turbines. Proven’s clients include Shell, for whom it provides marine-grade, explosion proof wind-turbines to power offshore gas platforms in the North Sea, as well as Sainsbury’s, B, and T-Mobile.

The initial investment from LCA allowed Proven to begin a scale-up of its production facilities as well as announce major expansion plans including an onshore initiative, Windcrofting to encourage the development of mini-windfarms across the UK. This new capital will enable Proven to increase manufacturing capacity to meet market demand and to enable the launch of its new 15kW wind-turbine.

Andrew McMullan, Managing Director of Proven Energy, commented: ‘As well as playing our part in the creation of the low-carbon economy, we will also be creating new jobs in the local Scottish economy. In addition, a proposed joint venture in India should allow us to further reduce unit costs in the future. We will then seek to use this scale and reach to increase our international market share.’