Peak Energy, a sodium-ion battery manufacturer, secured $55 million in a Series A funding round led by Xora Innovation, Temasek’s Early-Stage deep-tech investing platform. The company will use this funding to commercialize sodium-ion battery technology and launch a pilot program.
This round also involved new investors, including Lachy Groom, Tishman Speyer, TechEnergy Ventures, Doral Energy-Tech Ventures, DETV-Scania Invest, and existing investor Eclipse and strategic partner TDK Ventures.
Last year, the company secured $10 million in a funding round led by Eclipse, with significant participation from strategic partner TDK Ventures.
Peak Energy claims that its sodium-ion battery technology can offer advantages in cost, supply chain security, scale, and safety over lithium-ion, the industry’s current default battery storage choice. The funding is also expected to lay the groundwork for a domestic, giga-scale sodium-ion battery factory slated to open in 2027.
The company expects to deploy its sodium-ion batteries to a select group of six customers participating in a pilot program as early as next year. The roster includes three Independent Power Producers and electric utility companies.
Sodium-based battery companies have seen a rise in investment in the first half of this year, with over $200 million raised in four deals, per Mercom Research.
“AI should represent a step forward, not a step backward,” said Landon Mossburg, co-founder and CEO of Peak Energy. “As energy demand grows, we must capitalize on the potential of renewables to provide dependable, inexpensive energy to fuel a new era of technological advancement. Utility-scale storage powered by sodium-ion is the answer to securing this future on a resilient, decarbonized grid.”
According to Mercom’s recently released 1H and Q2 2024 Funding and M&A report for Storage and Grid, VC funding for Energy Storage companies in 1H 2024 came to $2.4 billion in 48 deals, a 37% decrease year-over-year compared to $3.8 billion in 43 deals in 1H 2023.
Last month, UNIGRID, a provider of sodium-based battery solutions, raised $12 million in an oversubscribed Series A funding round. Transition VC and Ritz Venture Capital co-led the round, which new investor Union Square Ventures and existing investor Foothill Ventures joined.
