Summary
Bloom Energy Corporation (BE) announced a significant strategic partnership on September 23, 2019, by entering into a joint venture agreement with SK Engineering & Construction Co., Ltd. (SK E&C). This collaboration aims to establish a light-assembly facility in South Korea. The primary objective of this venture is to manufacture and sell specific components of the Bloom Server tailored for the stationary utility and commercial & industrial markets within South Korea. This move is expected to enhance Bloom Energy's market presence and operational efficiency in a key region.
Key Highlights
- 1Bloom Energy formed a joint venture with SK Engineering & Construction (SK E&C) to establish a light-assembly facility in South Korea.
- 2The joint venture will focus on assembling portions of the Bloom Server for the South Korean market.
- 3Bloom Energy will majority control and manage the joint venture.
- 4The facility is anticipated to be operational by mid-2020, pending certain conditions.
- 5SK E&C will be the primary customer for the products assembled by the joint venture.
- 6SK E&C currently serves as a distributor for Bloom Servers in South Korea.
- 7The joint venture will be primarily funded by SK E&C, with a nominal initial capital contribution from Bloom Energy.