Altus Power Inc (AMPS)

History and Background

Altus Power, Inc. was founded in 2009. It initially focused on developing and operating solar generation assets for commercial and industrial clients. Over time, it has grown to become a significant player in the distributed solar generation market, providing clean energy solutions across the United States.

Core Business Areas

• Onsite Generation: Developing, owning, and operating distributed solar generation facilities for commercial, industrial, and public sector clients. They generally enter into long-term power purchase agreements (PPAs) with their customers.
• Community Solar: Developing community solar projects that allow multiple customers, including residential subscribers, to benefit from solar energy generation.
• Energy Storage Solutions: Providing battery storage solutions to enhance the value and reliability of their solar generation assets.

Leadership and Structure

Gregg Felton serves as Co-CEO and Co-Founder, and Anthony Giese serves as Co-CEO and President. The company has a standard corporate structure with a board of directors and various departments overseeing operations, finance, and development.

Key Offerings

• Commercial Solar PPAs: Long-term power purchase agreements (PPAs) that provide businesses and organizations with electricity generated by onsite or offsite solar facilities at a fixed rate. Their market share is estimated between 1-2% of the commercial solar market. Competitors include SunPower, NextEra Energy Resources, and Borrego Solar.
• Community Solar Subscriptions: Allow residential and commercial customers to subscribe to a portion of a community solar project and receive credits on their electricity bills for the energy generated. Market share is estimated to be relatively small but growing, as the community solar market is still developing. Competitors include Nexamp and Sunrun.
• Energy Storage Systems: Battery storage systems deployed alongside solar facilities, allowing customers to store excess energy for later use or to provide grid services. Market share in the energy storage sector is low, but is projected to grow. Competitors include Tesla, Fluence, and LG Energy Solution.

Industry Overview

The distributed solar generation industry is experiencing rapid growth driven by increasing demand for clean energy, declining solar equipment costs, and supportive government policies. The industry is becoming more competitive with both established players and new entrants vying for market share.

Positioning

Altus Power is positioned as a leading independent owner and operator of commercial-scale solar generation assets. Their competitive advantages include their focus on long-term PPAs, their strong relationships with commercial and industrial clients, and their expertise in developing and operating solar facilities.

Total Addressable Market (TAM)

The TAM for commercial and industrial solar generation is estimated to be in the tens of billions of dollars. Altus Power is targeting a significant portion of this market by focusing on long-term PPAs and expanding its geographic footprint.

Key Competitors

• SPWR
• FSLR
• RUN

Competitive Landscape

Altus Power's competitive advantage lies in its focus on long-term PPAs and its expertise in developing and operating solar facilities. However, it faces stiff competition from larger players with greater financial resources and brand recognition.

UNICO Solar Investors

• Year: 2021
• Acquisition Price (USD millions): 280
• Strategic Rationale: Expanded Altus Power's portfolio of operating solar assets and strengthened its presence in key geographic markets.

Historical Growth: Altus Power has experienced significant growth in recent years, driven by acquisitions and the development of new solar facilities.

Future Projections: Analysts project continued growth for Altus Power, driven by increasing demand for clean energy and supportive government policies.

Recent Initiatives: Recent initiatives include expanding into new geographic markets, developing new solar generation technologies, and offering energy storage solutions.

Altus Power is a growing player in the distributed solar generation market, focusing on long-term contracts with commercial and industrial clients. Their main strengths lie in their specialization and growing portfolio. Weaknesses include their relatively small size compared to competitors and reliance on government support. However, increasing demand for clean energy and strategic acquisitions create numerous opportunities for future expansion, but they need to manage competition and policy changes.

• SPWR
• FSLR
• RUN
• NEE

Data Sources:

• Company filings
• Analyst reports
• Industry publications

Disclaimers:

This analysis is for informational purposes only and does not constitute financial advice. Market share estimates are approximate and based on available data.