Shell and Siemens Solar Form New Joint Venture
Siemens Solar GmbH (Munich) and Shell Renewables Ltd (UK) announced that they have reached an agreement to form a joint venture of their solar energy businesses. Subject to relevant regulatory approvals and consultations, the joint venture, Siemens and Shell Solar GmbH, will begin operation in April 2001.
The agreement follows negotiations that Siemens and Shell announced at the beginning of December 2000. The Shell Group will, initially, contribute its German solar businesses and a considerable cash injection into the joint venture, receiving newly issued shares in return. The shareholdings in the new joint venture will be Siemens A.G, with 34 percent, E.ON Energie AG (Germany), with 33 percent, and Shell, with the remaining shares. Before the end of 2002, Shell has agreed to contribute its remaining business.
The joint venture will have two managing directors: Gernot Oswald, the current managing director of Siemens Solar, and Philippe de Renzy Martin, the COO of Shell Solar. Philippe de Renzy Martin commented, “This co-operation shows Shell's commitment to make solar energy work. As a leading and experienced energy company we are convinced that the best way to make solar energy a major part of the energy mix is to make it a commercial success. The combination of these two experienced solar companies make this possible." Gernot Oswald stated, “Bundling of the complementary strengths of the partners will improve our potential to grow even faster and to expedite the worldwide implementation of solar energy."