Intermagnetics Seeking Buyer for SuperPower
Intermagnetics General Corp. CEO Glenn Epstein announced at the company's recent annual meeting that Intermagnetics is planning on spinning off its SuperPower energy technology subsidiary as it transitions itself to a full medical device business, according to a report in the Albany Times Union.
Epstein said spinning off SuperPower, which is developing superconducting material used for electric power components and employs 50 people at its headquarters in Schenectady, will add 16 cents per share to the bottom line and $10 million in annual cash flow. That doesn't include any proceeds the company would receive if it sold the business or held a public offering.
SuperPower's most high-profile project is the $26 million Albany High-Temperature Superconducting Cable Project. That project, which is funded with $13 million from the U.S. Department of Energy and $6 million from the New York State Energy Research and Development Authority, is taking place at National Grid's North Albany Service Center.
It is using 350 meters of first generation superconducting cable to link two National Grid substations, and it is expected to be commissioned in the spring of this year. In 2007, a 30-meter section of the cable will be replaced using SuperPower's second-generation superconducting wire.
SuperPower also is developing superconducting materials for use by the military. The Air Force recently announced it awarded the company a $10.7 million contract to help with the establishment of a domestic commercial production facility for second-generation high temperature superconducting material. SuperPower also is part of a team that was awarded a $3.5 million contract through the Navy to study the benefits of high-temperature superconducting generators for ships.