The company has a slew of innovations, most in different stages of patenting. It assiduously protects its intellectual property. Its business model relies on license fees accruing from the deployment of its technology in the Wave Energy Projects. Apart from license fees, the company participates in equity of the Special Purpose Companies that implement the projects. Being an innovation driven company in the frontiers of technology, technology management is its area of special emphasis.
Carnegie Corp. acquired CETO technologies from REH. CETO, named after a Greek god, is the only technology that enables pumping high pressure sea water ashore. This method is the most efficient method to desalinate sea water (PESWiki.com). The acquisition was in return for REH taking 35% stake in Carnegie. In addition to the intellectual property, Carnegie acquired REH’s commercial site pipeline. REH’s agreements with EDF EN also devolved upon Carnegie. Consequent to the agreement with REH, Carnegie would Build, Own and Operate CETO wave forms in the southern hemisphere, which was the domain of REH (CETO over View).
The relationship with EDF EN is a joint venture license relationship to own and operate CETO Wave Power Projects in the northern hemisphere and Reunion Island in the Indian Ocean. While Carnegie will have the right, it is not bound by any obligation to participate in any CETO wave power project developed by EDF EN in the Territory of Exclusivity. In the event REH does not exercise its right to participate in any such project, EDF EN can exercise the right in developing such project with a partner of its choice. Carnegie’s project with EDF EN, will be implemented by a Special Purpose Company (SPC). In this SPC, Carnegie receives an equity interest between 25% and 49% related to the scale of the project. The financing of the project will be through equity and debt instruments. The equity