Generate Capital, a sustainable infrastructure platform, has acquired large-scale battery storage developer esVolta. The acquisition will enable Generate to expand into the front-of-the-meter battery storage market.
esVolta has a portfolio of more than 900 MWh of operational and utility-contracted projects in the U.S. and Canada. With projects under active development in Texas, Arizona, Montana, California, Virginia, Colorado, Washington, and New Mexico.
“We have long believed that battery storage is critical to building a sustainable energy system and ensuring grid reliability as we scale up renewables and accelerate the energy transition. That is why we have been investing money and effort to grow this market since we started the company,” said Scott Jacobs, chief executive and co-founder of Generate. “Our partnership with esVolta today highlights the enormous potential for battery storage projects to rebuild our energy system. We’re excited to work with this innovative and expert team to expand our collective leadership in storage and resiliency markets nationwide.”
The acquisition was facilitated by Kirkland & Ellis as a legal adviser for Generate and Nomura Greentech as a financial adviser. For esVolta, Citi served as financial adviser and Hogan Lovells US as legal adviser.
“Generate is the ideal choice to support our long-term growth – sharing our vision of a modernized and decarbonized grid and the comprehensive approach to building it out,” said Randolph Mann, president of esVolta.
Founded in 2014, Generate builds, owns, operates, and finances solutions for clean energy, transportation, water, waste, and digital infrastructure with over 50 technology and project developers and owns and operates over 2,000 assets globally.
Earlier this month, Equinor, a renewable energy company, signed an agreement to acquire a 100% stake in East Point Energy, a battery storage developer in the US. The transaction agreements were signed on 09 July, and the transaction is expected to get completed in Q3 2022.
According to Mercom’s 1H and Q2 2022 Funding and M&A Report for Storage, Grid & Efficiency, there were 13 energy storage M&A transactions compared to nine in 1H 2021.