Continuum Renewables bids to acquire solar specialist Heliogen

Continuum Renewables Inc has tabled a non-binding proposal to acquire Heliogen Inc (NYSE:HLGN), valuing the US artificial intelligence (AI)-enabled concentrated solar specialist at about USD 78.3 million (EUR 71.0m).

Continuum, which seeks to expand its renewable energy products through the deal, is offering to acquire the target company for USD 0.40 per share. The proposed consideration reflects a premium of about 70% over Heliogen’s unaffected volume-weighted average price over the last month.

Shares in the Pasadena, California-based firm closed 20.60% higher in New York on Thursday and then jumped 15.62% to USD 0.35 in pre-market trading as of 0523 EDT.

“This acquisition is an important step in our growth strategy, and we look forward to recapitalising Heliogen as a private company and working with the Heliogen team to create value for our customers,” Continuum’s CEO Paul Browning said in a statement.

The proposed deal hinges on due diligence, standard closing conditions, including regulatory approvals, and negotiation of transaction documents.

Launched in 2013, Heliogen offers a concentrated solar thermal energy solution that uses sunlight and thermal storage to decarbonise industrial operations. Its AI-powered modular system delivers dispatchable renewable energy in the form of steam, power or green hydrogen fuel for industrial customers.

Continuum develops and deploys clean energy solutions that include photovoltaic (PV) solar, offshore hydropower, renewable heat and energy storage products. The company counts among its shareholders Idealab Studio, whose founder is an early investor in Heliogen and Prime Movers Lab.

(USD 1 = EUR 0.908)

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