It is reported that Titan Wind Energy subsidiary, Titan Wind Energy Europe plans to fully acquire Denmark Varde Wind Tower Plant from Vestas Wind Systems A/S and its wholly owned subsidiary Vestas Blades A/S for EUR 15.18 million equivalents to CNY 120 million.
According to the filling, Vestas a world leader in wind turbine manufacturing was founded in 1945. It has produced wind turbines since 1979 and began to focus on wind energy research and wind power equipment manufacturing in 1987.
According to the report, Titan Wind Energy signed a 5-year supply contract with Vestas on October 27 2011 which stipulated that Vestas should purchase no fewer than 100 wind tower sets in 2012, 250 sets in 2013 and 300 sets in 2014 while Titan Wind Energy pledged to produce no fewer than 150 sets in 2012, 350 sets in 2013 and 400 sets in 2014. The acquisition will not impact this contract.
According to a market analyst, Titan Wind Energy acquisition of overseas assets could be a response to the US s anti-dumping and anti-subsidy sanctions as exports made by overseas subsidiaries to the USA will not be subject to them.
According to the report, The US Commerce Department announced on May 30 2012 that a preliminary anti dumping and anti-subsidy tax would be levied on application level wind towers imported from China. Titan Wind Energy is required to pay tax at a rate of 26%.
