Lime Energy Co. (NASDAQ: LIME) announced today that Lime has sold certain assets of its wholly owned subsidiary, Lime Energy Service Company, constituting its energy service companies (ESCO) subcontracting business to PowerSecure, Inc. a subsidiary of PowerSecure International, Inc. (NASDAQ:POWR) for approximately $1.9 million in cash. PowerSecure also will assume approximately $9.9 million of net liabilities related to existing projects, resulting in an effective purchase price of approximately $11.8 million.
Lime Energy, a leading provider of energy efficiency solutions for utilities, completed this sale as part of its increased focus on utility direct install programs, the fastest growing segment of the energy efficiency space. This sale reinforces Lime’s commitment to serving its growing list of utility clients, and to dedicate the corporate resources necessary to maintain its track record of exceeding program savings goals and delivering customer satisfaction.
“I believe that our proven success in the utility program space creates the potential for a high-growth, high-margin and less capital intensive business for Lime Energy moving forward,” said John O’Rourke, President and CEO of Lime Energy. “PowerSecure is an ideal home for our ESCO services business and we are thrilled to see it continue with a North Carolina based company.”
“Lime is committed to helping our utility clients to engage their small business customers with innovative efficiency solutions,” stated Adam Procell, Senior Vice President of Utility Programs for Lime. “Reports released last month by ACEEE and Lawrence Berkeley National Laboratory demonstrate the need for utilities to do more for these customers than they have in the past – Lime’s delivery model and mix of expertise provides utilities with a cost-effective means of accomplishing this goal.”With nine active small business direct install programs for utilities, Lime is leading the way in this market, having delivered over $100 million in incentives and 405,000 MWh to utility small business customers in the past three years alone.