HONG KONG and SANTA CLARA, Calif., May 14, 2019 (GLOBE NEWSWIRE) -- SPI Energy Co., Ltd. ("SPI Energy" or the "Company") (NASDAQ: SPI), a global provider of renewable energy solutions and crypto-miner hosting services for residential, commercial and utility customers, today announced SPI Investments Holding Limited (“SPI Investments”), one of the Company’s wholly subsidiaries, Jacky Lo (“Mr. Lo”), and Harbor Green Grain, L.P., entered into a serious of agreements (“Agreements”) to form a joint venture incorporated in the Cayman Islands tentatively named Knight Holding Co., Ltd. (“ KHC” or “Joint Venture”) to explore the agriculture business for productions, sales or marketing of cotton, Alfalfa and other related agriculture products.
Under the terms of the Agreements, KHC will issue to Jacky Lo shares representing a 40% equity stake in KHC ( the “Issuance”) while SPI Investments will hold a 60% equity stake in KHC, and for Mr. Lo to contribute to KHC the equity of an entity in Arizona ( “Arizona Equity”) and certain assets (“Assets”) including, but not limited to, a press machine, warehouse and equipment, as a consideration for the Issuance, subject to satisfaction of the certain closing conditions, including: 1) the formation of KHC; 2) the completion of transfer of Arizona Equity, and 3) the completion of transfer of Assets.
Following the formation of Joint Venture and the closing of Issuance, SPI Investments shall provide such further reasonable assistance to KHC to enable the Joint Venture to build the storage warehouse in Arizona and develop solar power projects of up to 5MW capacity on site.
SPI Investments shall contribute to KHC cash in the amount of US$500,000 as its initial investment. If and when the Joint Venture becomes profitable based upon generally accepted accounting principles and cash flow positive based upon its actual cash flows, SPI Investments may contribute additional capital to KHC to fund the operation of KHC; provided, however, such additional capital contribution shall not exceed US$1.5 million in the aggregation.
About SPI Energy Co., Ltd.
SPI Energy Co., Ltd. is a global provider of renewable energy solutions and crypto-miner hosting services for residential, commercial and utility customers. SPI Energy focuses on the EPC/BT, and storage markets including the development, financing, installation, operation and sale of utility-scale and residential PV projects in Japan, Europe and North America. The company operates a B2B E-Commerce platform offering a range of PV, storage products in Australia as well as a turnkey solution (umining.io) offering global crypto-mining training, sale, hosting and repair service. The Company has its operating headquarters in Hong Kong and Santa Clara, California and maintains global operations in Asia, Europe, North America and Australia.
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SPI Energy Co., Ltd.