29 July 2022

·    Solar power is expected to become the largest source of renewable energy globally, driven by the unstoppable momentum behind decarbonisation, greater energy sustainability and security

·    Acquisition presents a compelling strategic fit and opportunity to expand Intertek's service offering within the World of Energy to provide Total Quality Assurance (TQA) solutions for solar photovoltaic ("PV") and energy storage products and installations

·      CEA's service offering is highly complementary to Intertek's existing solar energy offerings in product testing and certification and in-field inspections, creating a truly end-to-end value proposition in the solar energy value chain for customers globally

More information is available here: https://www.intertek.com/investors/cea-video/

Intertek Group plc ("Intertek" and "Group"), a Total Quality Assurance provider to a range of industries worldwide, is pleased to announce that it has entered into an agreement to acquire Clean Energy Associates, LLC ("CEA"), a market-leading independent provider of quality assurance, supply chain traceability and technical services to the fast-growing solar energy and energy storage sectors.

As the energy transition accelerates and companies re-invent the way they manage their sustainability agendas, the growth opportunities within the World of Energy are multiplying. In order to meet the expected increase in global energy demand as populations grow, while at the same time reducing greenhouse gas emissions, the world will need a significant increase in energy production from a variety of sources in the short, medium and long term. New sources of electricity demand, such as the rise of electric vehicles, will also place greater strain on grid stability and resilience. 

Supported by these long-term structural trends towards decarbonisation, energy sustainability and security, the solar energy sector is expected to continue exhibiting strong growth, and by 2030 become the largest source of renewable energy generation globally. The acquisition of CEA presents a compelling opportunity for Intertek to expand its sustainability service offering in the fast growing quality assurance market for solar energy and energy storage.

Established in 2008, CEA is headquartered in the US and has an operational base in China. CEA serves as a trusted partner to some of the world's leading solar project developers, owners and financiers, providing a range of services across the value chain. These services include inline production monitoring and quality assurance, supply chain management and traceability as well as technical support to solar PV and energy storage projects. Combined with Intertek's comprehensive existing solar energy service offerings in product testing and certification and in-field inspections, this transaction creates a truly end-to-end service offering to support customers on their decarbonisation and energy sustainability journeys. CEA will now also benefit from Intertek's global network and customer base, facilitating expansion opportunities into new geographies.

CEA has a strong track record of organic growth, generating revenues of £21.7 million in 2021 and has over 150 employees.

The transaction is subject to customary closing conditions and is expected to be completed in early August 2022.

André Lacroix, Chief Executive Officer of Intertek, said: "With rapid changes taking place within the world's energy mix, the regulatory environment is becoming more complex as the pace towards decarbonisation and Net Zero speeds up. Solar power generation is expected to become the fastest-growing electricity source in the years ahead, bringing with it a heightened demand for mission critical, end-to-end Total Quality Assurance (TQA) solutions. We welcome the CEA team to Intertek and look forward to working together to seize the attractive opportunities ahead, supporting companies within the solar PV and energy storage industries on their sustainability journeys with our industry-leading ATIC (Assurance, Testing, Inspection, Certification) solutions."

ENDS

For further information please contact:

Denis Moreau, Investor Relations

Telephone: +44 (0) 20 7396 3415 investor@intertek.com

Jonathon Brill/James Styles, Dentons Global Advisors

Telephone: +44 (0)7836 622 683 intertek@dentonsglobaladvisors.com