It’s not a sunny day for the staff at Entech Solar, which plans to lay off 40 percent of its employees as it retools itself.
Earlier this year, World Water & Solar, which garners most of its revenue from commercial solar installations, and Entech, a solar panel maker, merged to market a somewhat unusual system that combines silicon photovoltaic cells and a fluid-filled heat pipe. The PV cells provide electricity while the pipe can harvest heat for rooms or hot water. The companies are part of the far-flung Quercus Trust portfolio.
The combined system harvests 60 percent of the energy the sun puts out, according to Frank Smith, CEO of Entech.
“We will continue to search for opportunities to reduce spending, decrease our cash burn, and allocate resources efficiently as we lay a framework to reach profitability and increase shareholder value,” said Smith in a prepared statement.
The merger in part took place to turn around continuing losses at World Water. The company reported a net loss of $7.4 million in the third quarter of 2008, before the merge with Entech Technologies.
The Entech layoffs could be a warning sign for competitors, like Distributed Solar Power and Millennium Electric from Israel and Cool Energy in Boulder, Colo. Like Entech, these companies are trying to break into the broader solar market with two-way devices.
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