Swedish equity investor EQT has entered an agreement with InfraRed Capital Partners to acquire Statera Energy, a UK-based battery storage developer.
EQT is acquiring Statera through its EQT Infrastructure VI fund.
The companies have not revealed the deal’s financial terms. However, some media sources state that the transaction values Statera at more than £500m ($615.48m).
Completion is anticipated by the end of 2024.
Founded in 2015, Statera has a development track record of 1GW of flexible generation and battery storage in operation and under construction.
This portfolio is sufficient to meet the needs of 750,000 homes.
The company has a project pipeline of more than 16GW and plans to deliver 7.5GW by 2030.
Its pipeline includes 5.6GW of hydrogen production, 2.4GW of battery storage, 3GW of flexible generation (gas-fired reciprocating engines) and 2.1GW of pumped hydro.
The UK energy landscape is moving towards steady decarbonisation as renewable energy projects are being installed and thermal generation is being gradually abandoned.
The heat and transportation sectors, which had been driven by fossil fuels, are now switching towards electricity.
In such an environment, energy storage and flexible generation take on important roles for smooth energy transition and grid stability.
Statera is said to be “well-positioned” to capitalise on the growing demand in this area.
Through the purchase, Statera expects to garner support from EQT in the form of access to growth capital that can help expedite the deployment of flexible generation in the UK.
It can also leverage its experience of owning and developing companies supporting the energy transition.
EQT Infrastructure advisory team partner Francesco Starace stated: “In a world increasingly reliant on intermittent renewables and striving to achieve net zero emissions, battery storage and other flexible generation solutions are imperative.
“Both the public and private sectors must commit time, expertise and capital to innovative solutions that can expedite the energy transition. The partnership between EQT and Statera is an exciting step towards achieving this goal.”
Statera founder and CEO Tom Vernon stated: “It is essential that flexible generation and energy storage technologies are deployed at scale to enable the vast amounts of renewables required to decarbonise power systems. Statera directly addresses this challenge by developing and operating projects that provide the resilience and flexibility required to balance the grid.
“InfraRed and the team at Statera have been critical components of our success to date, and I am hugely excited to embark on our next phase of growth in partnership with EQT. This transaction is a significant milestone, and the scale of EQT’s financial support and global footprint means Statera is well-positioned to deliver its pipeline of battery, pumped hydro and green hydrogen technologies".
