Despite finalized acquisition, Broadwind Energy falls

Naperville, Ill.-based Broadwind Energy (OTC: BWEN) today announced it had finalized the acquisition of Clintonville, Wis.-based Badger Transport, a heavy hauler specializing in transporting oversized, overweight components and equipment for the wind energy industry.

But despite the effort to vertically integrate, Broadwind shares fell 6.46 per cent to $24.60, by midday trading.

According to Broadwind, the acquisition is to provide an integrated supply chain for its North American wind customers.

With the acquisition, Broadwind said it plans to increase Badger’s heavy hauling fleet by more than 40 per cent by the end of 2008.

Broadwing also said it intends to locate Badger’s dispatch centers close to its manufacturing plants, operations and maintenance service centers for customer wind project sites.

Other platform companies currently included in Broadwind’s portfolio include Brad Foote Gear Works, a precision gearing systems manufacturer; Energy Maintenance Service, a wind energy operation and maintenance service provider; R.B.A., Inc., a heavy steel fabricator; and Tower Tech Systems, a wind tower and monopile manufacturer in Manitowoc.

Last month, the company said it entered definitive agreements to raise approximately $100 million through the direct sale of common stock to investment funds (see Kleiner Perkins going greener) in addition to announcing it would expand wind tower manufacturing with two new North American production facilities through its Tech Tower Systems subsidiary (see Broadwind Energy to boost wind tower production ).

Broadwind and its companies employ close to 1,000 people across the United States.