Solar Millennium AG: subscription price for the new capital cash increase shares is 21.00 euros

Erlangen, 25.02.2008. Solar Millennium (ISIN DE0007218406) has set the subscription price for the new shares issued within the scope of the current capital cash increase at 21.00 euros today. Up to 2,584,505 new non-par value ordinary registered shares are being issued, bringing the company gross proceeds of up to around 54.3 million euros. Subscription rights (ISIN DE000A0TGM35) will be traded on the Frankfurt Stock Exchange open market (floor trading) during the period February 25 to February 29, 2008. The subscription period expires on March 4, 2008. Subscription rights not exercised during the subscription period will lapse.

The capital increase is to secure the required capital base for Solar Millennium's growth strategy. The group intends to continue playing a decisive role in the ever growing solar thermal power plant market in the future. Worldwide energy demand is set to rise significantly in the long term, with more and more countries turning to renewable energy. Solar thermal power plants are able to increase supply reliability because this plant technology generates cost-effective solar energy which can be supplied on demand through the use of thermal storage or hybrid operations.

The issuing proceeds will be used to finance further expansion under the current business model. It will finance the expansion of both project development activity and the company's technological lead. The aim is to strengthen its position in existing markets and allow entry into further markets. The first priority in using the funds is the development and realization of further projects in the Spanish and US markets. Five projects are to be developed and implemented in these countries in the current and next financial year. In order to promote internationalization, the company shall also intensify project developments in other countries in the earth's Sun Belt.

To expand its technological lead, the proceeds from the capital increase will be also used for research and development activities for the further optimization of the parabolic trough technology. The aim is to strengthen the technological lead of the Solar Millennium group. Through investment in research and development, Solar Millennium intends to significantly reduce the costs of solar thermal electricity generation.

Further information on this report:
This report is solely directed at residents of Germany. It is not an offer to sell and not a request to purchase Solar Millennium AG securities.
This report is not directed at residents of the United States of America, the United Kingdom, Canada, Japan or any other country except for Germany. The contents of the report are not an offer to purchase securities in the United States of America. The securities cited in this report have not been and will not be registered in their present form in the United States of America under the current version of the US Securities Act of 1933 and may not be sold or offered for sale without registration or on account of an exemption from the obligation of registration. No public offering of the securities will be made in the United States of America. The information contained on the report is not intended for reproduction in the United States of America.

About Solar Millennium AG:
Solar Millennium AG, Erlangen, is a globally active company in the renewable energy sector, with its main focus on solar thermal power plants. Together with its subsidiaries, Solar Millennium specializes in parabolic trough power plants - a reliable, proven technology in which the company is a worldwide leader. The company covers all major business sectors of the value-added chain for solar thermal power plants, from project development to technology and turn-key construction of power plants, to the operation and ownership of power plants. In Spain, Solar Millennium developed Europe's first ever parabolic trough power plants, two of which are already under construction. Further projects are planned with a capacity of several hundred Megawatts located worldwide, with the focus upon Spain, the USA, China and North Africa. The company is also developing solar chimney power plants, with the aim of making this technology ready for the market.

About the technology:
Solar thermal power plants generate electricity using heat energy captured from solar radiation. In a parabolic trough power plant, trough-shaped mirrors concentrate the sun's rays onto a pipe in the focal line of the collector. Their absorption heats a transfer fluid in the pipe, generating steam in the power block by way of heat exchange. As with conventional power plants, the steam is utilized in a turbine to generate power, and by integrating thermal storage, this power can be supplied on demand. Thus, solar power plants can also generate electricity after sunset.

You can download the press release here.