AMSC and The Switch have announced that they have terminated their acquisition agreement due to adverse market conditions.
Per the terms of the amended agreement, The Switch shareholders will retain the 14.2 million euro ($20.6 million) advance payment that was made by AMSC on June 29 as the break-up fee. The break-up fee will be recorded as an expense in AMSC's second fiscal quarter, which ended Sept. 30.
‘While AMSC and The Switch have mutually agreed to terminate our acquisition agreement, we continue to see strong synergies between our two companies and expect to continue to work collaboratively on drivetrain solutions that increase wind turbine reliability and lower the cost of energy,’ says AMSC President and CEO Daniel P. McGahn.
