Beam Global unveils its plan to acquire Europe-based Amiga and announces the pricing of a $22.5M public offering. The move seeks to expand its business and boost product development.
What’s Happening
Beam Global, a leading innovator of sustainable technologies for electric vehicle (EV) charging, energy storage, and outdoor media, has signed a binding Letter of Intent (LOI) to acquire Europe-based Amiga DOO Kraljevo. The acquisition is poised to augment Beam Global’s production, engineering, and sales expertise, diversify its revenue streams, and accelerate the development of its products in both the European and US markets. This comes alongside the pricing announcement of an upsized public offering of 2,500,000 shares of its common stock.
Why It Matters
The planned acquisition aims to fast-track Beam Global’s growth into the European market, particularly in light of Europe’s commitment to sustainability and its mandate to transition to zero-emission vehicles by 2035. Additionally, this move will help solidify Beam Global’s position in the green economy and increase barriers to entry for future competition.
Key Points
Amiga, established in 1990, is an eminent manufacturer of specialized structures and equipment with over 210 employees. It recorded revenue exceeding EUR 8.5M in 2022 and serves commercial customers in 16 nations. The company is optimally positioned to bring Beam Global’s patented EV Standard™ to the US and European markets. The acquisition is still subject to Beam Global’s due diligence and is expected to close in the third or fourth quarter of 2023. Beam Global has concurrently announced the pricing of a $22.5 million public offering of its common stock. The net proceeds are set to fund the initial cash portion of the proposed acquisition and other corporate activities.
Bottom Line
The acquisition of Amiga marks a significant step in Beam Global’s expansion strategy. In addition to opening new customer segments in both the US and Europe, it will enhance manufacturing and engineering capabilities. The company also anticipates its Q2 revenue to reach record highs, reflecting a positive business outlook. Finally, the upsized public offering illustrates a strong commitment to the acquisition and ongoing corporate development. As the demand for sustainable and renewable energy solutions rises, the company continues to innovate and broaden its footprint in this vital industry.
