Wind-turbine newcomer AAER raises $7.5 million in bought deal
Thursday, April 24th, 2008A Montreal-based company touting itself as “Canada’s only original equipment manufacturer of wind turbines of 1 megawatt and more,” has raised $7.5 million in equity from a syndicate led by Canaccord Adams and National Bank Financial. AAER Inc. will use the proceeds to purchase manufacturing equipment for production of turbine blades and put deposits toward the purchase of required nacelle components. The syndicate has an option to purchase another $1.125 million in common shares. “AAER Inc.’s short-term business strategy targets market niches for wind parks not exceeding 50MW,” according to the company’s Web site.
Focusing on smaller wind projects could prove a good way for a newcomer in the wind-turbine market to gain some traction and slowly build up. There is so much demand for turbines these days that small projects are getting squeezed out, unable to reserve a spot in line because they’re considered too small potatoes compared to larger wind-farm projects in the hundreds of megawatts. While it won’t be a cakewalk for this company, it’s certainly a new venture worth watching.
Tyler Hamilton is senior energy reporter and columnist for the Toronto Star, Canada's largest daily newspaper. In addition to this Clean Break blog, Tyler writes a weekly column of the same name that discusses trends, happenings and innovators in the cleantech market. This blog is a personal project started in April 2005. It is not an official blog of the newspaper.