Date: 10/1/12
Broker: Cenkos
Company: Energetix Group
Share price: 25p
Target price: na
Recommendation: Buy
Energy efficiency products developer Energetix's subsidiary Genlec is developing microCHP boilers for the domestic market, and has won an order from Calor Gas for a prototype boiler using liquefied petroleum gas (LPG).
The Memorandum of Understanding between the two companies opens up the market comprising 2 million UK homes that are off-grid. Calor is owned by SHV Energy, so it could also open up the European market for Genlec's Kingston boiler, which would be a further 25 million properties.
Calor believes that the Kingston LPG microCHP boiler could reduce the fuel costs and CO2 emissions of its customers. Cenkos argues that this is a significant endorsement of Genlec's technology.
