3TIER, a Seattle company that develops technologies to better understand where to locate wind, solar and hydro projects, has been sold to Finland-based Vaisala Corp. in a deal valued at $14.7 million. (This post has been updated with the correct dollar amount).
Founded in 1999 and employing 55 people, 3TIER had net sales last year of $9 million. It raised $10 million in funding in 2008, later cutting its workforce.
The company is not to be confused with Tier 3, a cloud computing startup from the Seattle area that was sold to CenturyLink last month.
“Going forward the two companies’ combined expertise will bring an integrated suite of renewable energy assessment, forecasting, asset optimization, and measurement solutions to customers around the globe,” said 3TIER CEO Craig Husa and COO Pascal Storck in a blog post.
3TIER will continue to operate as a wholly owned subsidiary of Vaisala.
Here’s the full press release from Vaisala:
Vaisala strengthens its position in the renewable energy market through the acquisition of 3TIER Inc., a US-based company with USD 9.0 million net sales in 2012 and 55 employees. The value of the deal is EUR 10.7 million. Vaisala is using its existing cash balance to finance the transaction. This acquisition will not have a material impact on Vaisala’s 2013 financial result or balance sheet. Market guidance for 2014 will include also 3TIER’s impact on Vaisala’s financial result and it will be disclosed on February 10, 2014 in Vaisala’s financial report for January-December 2013.
3TIER provides project feasibility, asset management and forecasting services to companies operating in the renewable energy market globally. While the majority of 3TIER’s business comes from the wind energy market, the company also serves customers in the solar and hydro energy markets. 3TIER complements Vaisala’s strong environmental sensing business, and its international distribution network will provide significant growth opportunities in Brazil, Nordic countries, China, Australia, India and the USA.
“The renewable energy market is a focus area of Vaisala’s Weather business, and the acquisition of 3TIER with its wind and solar energy emphasis, aligns perfectly with Vaisala’s strategy. Wind energy represents an extensive market with long-term growth opportunities. 3TIER brings Vaisala valuable capabilities in renewable energy assessment and forecasting services applicable across our other segments as well,” tells Kai Konola, Executive Vice President of Vaisala Weather Business.
Vaisala’s strategic intent has been to build a stronger position in the renewable energy sector. The acquisitions of Second Wind in August and 3TIER today are logical steps, and together with Vaisala’s offering create a full service renewable energy observation and information services business.
3TIER is an experienced provider of renewable energy assessment and forecasting services to the largest utilities, energy traders, financiers, and project developers around the world. With a staff of experts in weather, climate, and wind and solar risk, 3TIER helps its clients make profitable energy decisions. 3TIER has global reach with offices serving North America, Europe, the Middle East, Africa, India, Latin America, and the Asia Pacific region. 3TIER is headquartered in Seattle, Washington. For more information, visit www.3tier.com.
Vaisala is a global leader in environmental and industrial measurement. Building on 75 years of experience, Vaisala contributes to a better quality of life by providing a comprehensive range of innovative observation and measurement products and services for chosen weather-related and industrial markets. Headquartered in Finland, Vaisala employs approximately 1,400 professionals worldwide and is listed on the NASDAQ OMX Helsinki stock exchange. For more information, visit www.vaisala.com www.twitter.com/VaisalaGroup