Hartford’s United Technologies Corp. is investing $271 million in a California maker of wind turbines, Reuters reports.
Clipper Windpower Inc., of Carpinteria, Calif., said UTC’s purchase of a 49.5 percent stake would help boost Clipper’s balance sheet, Reuters reported.
The deal would enable Clipper to enhance its operations and pursue its strategic goals, while UTC will expand its power generation portfolio and enter the wind power segment. Clipper has a manufacturing plant in Iowa as well as operations in the United Kingdom.
UTC’s leading industrial competitor, General Electric Co., already has a major head start in producing wind turbines.
To complete the deal, UTC would buy a combination of 84.3 million new shares and 21.8 million shares from existing shareowners.
Clipper’s cash position fell to about $40 million at the end of September from $105.8 million in June, hurt by delayed receipts of several key payments from customers, Reuters said.
