Funding and M&A Roundup: Borrego Sells Solar and Storage Development Business to ECP
TotalEnergies acquires 50% stake in Clearway Energy Group
June 1, 2022
From: Mercom Capital Group
TotalEnergies, a multinational integrated oil, and gas firm, signed an agreement with Global Infrastructure Partners (GIP) to acquire a 50% stake in Clearway Energy Group (CEG), a clean energy developer in the U.S. CEG is a developer of renewable energy projects and controls and owns 42 % of the economic interest of its listed subsidiary, Clearway Energy (CWEN), into which projects are placed when they reach commercial operation. The company owns 7.7 GW of wind and solar assets in operation through CWEN and has a 25 GW pipeline of renewable and storage projects, of which 15 GW are in an advanced stage of development. Under the deal, GIP will receive $1.6 billion in cash and an interest of 50% minus one share in the TotalEnergies subsidiary that holds its 50.6% ownership in SunPower Corporation. The transaction is at a valuation of $35.1 per share for CWEN and $18 per share for SunPower.
Borrego, a developer, EPC, and O&M provider for large-scale solar and energy storage projects in the U.S., has entered into a definitive agreement to spin off and sell its development business to ECP, an energy transition-focused investor. The development business comprises a project pipeline of over 8.4 GW of solar and 6.4 GW/25 GWh of energy storage. Post-transaction, ECP will operate the development business as an independent company. The company will be headquartered in Lowell, Massachusetts, and will be led by the current development team as they continue to execute the long-term business strategy in partnership with ECP. Dan Berwick, currently President of the development business, will become CEO.
Johnson Matthey, a sustainable technology company, agreed to sell part of its Battery Materials business to EV Metals Group, a battery chemical, and technology provider, for £50 million (~$53 million). Johnson Matthey will hold a minority equity stake in EV Metals as part of the deal. The sale also includes Johnson Matthey’s eLNO technology. EV Metals Group will continue to develop eLNO. The acquisition includes Johnson Matthey’s assets at the Battery Technology Centre in Oxford & Battery Technology Center and pilot plant in Billingham, a research center in Moosburg, Germany, and the partly constructed site in Konin, Poland.
Electric vehicle solid-state battery technology provider Natrion has raised $2 million in seed funding. Chicago-based TechNexus Venture Collaborative led the round with participation from Tamarack Global, Mark Cuban, Illinois Ventures, and other private investors. This seed round marked the company’s first significant private capital raise. Before this, the company secured funding from the U.S. Department of Defense, including a $200,000 Small Business Technology Transfer Research (STTR) contract from the U.S. Naval Air Warfare Centre Weapons Division. The company plans to use the new funds to build in-house pouch cell prototyping capabilities at its R&D centers in Champaign, Illinois, and Binghamton, New York, which will allow it to prototype and validate Lithium Solid Ionic Composite (LISIC) in full-size cells that mimic those that are used in electric vehicle battery packs.
Waaree Energies, a solar module manufacturer, announced it had secured approval from the National Company Law Tribunal (NCLT) to acquire solar cell manufacturer Indosolar. The tribunal approved Waaree’s request for the acquisition under the corporate insolvency resolution process (CIRP), which the lenders of Indosolar initiated following the regulations under the Insolvency and Bankruptcy Code 2016. The acquisition of Indosolar will help Waaree Energies enhance its solar cell manufacturing capacity from the current 4 GW to 5.4 GW and cater to the company’s expansion strategies of solar module manufacturing.
Battery cell technology company Britishvolt has signed a sale purchase agreement (SPA) with Monbat Group to acquire its battery cell manufacturing subsidiary EAS at a consideration of €36 million (~$38 million). EAS, wholly owned by the Monbat Group, has been developing and producing large-format cylindrical lithium-ion battery cells from 7.5 Ah to 50 Ah using advanced and compact electrode production technology.
Indian multinational conglomerate JSW Group has signed an agreement to buy renewable energy producer Mytrah Energy India in a deal expected to be worth $1.8 billion (~$139.27 billion) to $2 billion (~$154.74 billion), according to Mercom sources. Hyderabad-based Mytrah has over 1.8 GW of operational assets in the renewable energy sector. The assets are spread across 17 wind farms and 21 solar projects in nine states – Punjab, Rajasthan, Gujarat, Madhya Pradesh, Maharashtra, Karnataka, Telangana, Andhra Pradesh, and Tamil Nadu. It is learned that Barclays Bank will manage the deal. The company is yet to confirm the deal officially.
Singularity Energy, a SaaS platform that reports on carbon emissions for the electricity grid, raised $4.5 million in a seed funding round. Spero Ventures and Energy Impact Partners led the round with existing investors, Third Sphere, J Ventures, and other individual investors. As part of the funding, Marc Tarpening, Tesla co-founder and partner at Spero Ventures, will join the company’s board of directors. The company plans to use new funds to expand its product and technology roadmap, which consists of time and location-based grid emissions data and other tools to provide data-driven decarbonization solutions to grid operators, utilities, and companies.
For reports and trackers on funding and M&A transactions in solar, energy storage, smart grid, and efficiency sectors, click here.
Read last week’s funding roundup.