Blue Earth, Inc. (BBLU) Is “One To Watch”

May 01, 2012 1:53 PM ET
MissionIR profile picture
MissionIR's Blog
Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Small cap

Contributor Since 2010

We know our reputation is based on the integrity of our clients and go to great lengths to ensure the companies represented adhere to sound business practices. It is our unwavering commitment to connect the investment community with companies that have great potential and a strong dedication to building shareholder value. View our website at MissionIR provides investor relations services to publicly traded companies in exchange for compensation. The content we provide via Seeking Alpha may be part of our efforts to widen a client’s exposure. To read our full disclaimer, visit

Blue Earth, has devised an extremely shrewd M&A (mergers and acquisitions) strategy for the clean tech space and is aggressively pursuing the assembly of key positions to take advantage of this burgeoning, multi-billion dollar industry, where combined EESS (energy efficiency services sector) spending clocked in at over $18B back in 2008 alone. The company has initiated and is conducting ongoing acquisition discussions focused on identified vectors which have been determined as fundamental to the industry and its future evolution.

Primary acquisition targets:

- Proven cleantech IP
- Energy management, management/service companies that are well-positioned
- HVAC, lighting, and refrigeration players with efficiency retrofit/upgrade installs
- Energy service companies with turnkey cogeneration, renewable, and green building muscle that are positioned for long-term maintenance/service contracts

A full 29% of that $18B total in 2008 (some $5.2B) went directly into energy efficiency program logistics, ending up in the hands of contractors, administrators, and associated construction companies. In an environment mapped by Lawrence Berkeley National Laboratory's 2010 study on the EESS sector, where high-end projections show sector growth swelling to over $80B by 2020, BBLU has emerged as a force to be reckoned with, actively solidifying an IP and infrastructural footprint that can ride this mighty wind like a schooner.

By focusing on fundamentally essential technologies and companies required by the EESS/renewable energy markets, often targeting specific customer/facility-centric models within the envelope of small commercial businesses and residences, BBLU is able to benefit from a granular approach to improving efficiency, focusing on areas like HVAC, lighting, and refrigeration. Rigorously combing the entire field for those perfect, innovative technologies with real commercial hitting strength in energy efficiency, as well as water/wastewater reclamation, BBLU is creating a firm foundation for the future of company shareholders, getting out ahead of the energy needs of small commercial business and residential clients.

BBLU is also going after energy solution turn-keys with public/private client bases, even complete EPC's (engineering, procurement, and construction) who handle cogeneration, plant construction, and green building tasks. Management has carefully analyzed the entire field and subsequently identified a host of service companies to complement a reinforced tech position. This is a key vector because the related markets, like cleanroom and laboratory facilities for semiconductor and medical device manufacturing, as well as biotech and pharma, represent a huge pie, where every slice is full of juicy long-term maintenance/service contracts (as well as upgrade/retrofit work which dovetails nicely with the broadening IP position).

Targeting companies with technology that helps reduce energy consumption, costs, and environmental impact, especially in the small commercial business/residential area, again particularly HVAC and related, in conjunction with broader service companies, will enable BBLU to create a larger nationwide clean tech distribution, installation, and service network. The company also philosophically is rooted in the global movement for a sustainable planet. Beyond the drive to achieve success for the shareholders of BBLU, there is an overarching compulsion to bring forth a more complete solution to optimizing energy production, consumption, and the pollutive effects thereof.

A marriage of tech and service positions is eminently showcased by the recent announcement of wholly-owned BBLU subsidiary, Xnergy, Inc., of an agreement signing with Biosar Energy SA, in connection to Biosar's latest in a long string of successful, utility scale solar PV projects, a collaboration to jointly develop/pursue a 10-100 MW solar PV project in the U.S.

President and CEO of BBLU, Dr. Johnny R. Thomas, threw a spotlight on the $5-50M revenue streams typically associated with utility scale projects of this sort and forecasted significant revenue from Xnergy's portion, as well as huge logistical synergy boosts from the strengthened relationship with ELLAKTOR subsidiary, Biosar. BBLU will bring the design and construction expertise, as well as licensing/permitting ability to the table that Biosar lacks, while Biosar will provide the exceptional equipment procurement and large-scale project execution expertise for which they have become known, the end result will be expanded domestic renewable infrastructure.

BBLU is exacting in their scrutiny of potential acquisition candidates, taking fully into account the candidate's extant business relationship with utilities, keeping a keen eye out for potentials who have successfully executed utility-funded rebate programs. Creating a nodal network of providers who can get consumers to adopt energy efficiency technology goes hand-in-hand with the cross-selling BBLU drives via acquisition (when the company acquires an HVAC installer for instance doing retrofits, it places BBLU in prime position to provide associated products/services to the acquired company's entire client pool).

The company will also maintain branding of acquired positions, allowing for organic brand identity growth, while promoting the acquired company as a member of the Blue Earth family for identity throughput.

For more information on this hungry cleantech marvel, please visit the Blue Earth website at:

Please see disclaimer on the MissionIR website

Recommended For You


To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.
Is this happening to you frequently? Please report it on our feedback forum.
If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh.