Ultrasystems Acquires Company in San Diego

Ultrasystems Inc. said it has acquired privately held Gentec Inc., a San Diego-based company that designs and installs small energy cogeneration systems.

Terms of the deal were not disclosed.

Irvine-based Ultrasystems, which reported revenue of $78.2 million for the first half of 1986, said Gentec “will significantly complement and strengthen (our) overall position in the rapidly emerging micro-cogeneration industry.”

Micro-cogeneration systems are small power plants that produce electricity and hot water for an individual institution or commercial business, such as a hospital or hotel.

Gentec has developed technology to remotely monitor multiple cogeneration systems from its control room in San Diego. The company has about 20 employees.

Separately, Ultrasystems said it signed contracts to design and install 28 micro-cogeneration systems for various customers over the next six months.

Ultrasystems will retain ownership of all the systems and will monitor them through the Gentec control room. Ultrasystems officials said the company expects to install at least 600 and as many as 1,000 micro-cogeneration systems next year.

Annual profits from each of those projects are expected to range from $10,000 to $25,000, Ultrasystems said.