VoltaGrid secures $1bn investment for expansion

US-based powerfulness procreation institution VoltaGrid has agreed to unafraid $1bn successful strategical equity from funds managed by Blackstone Tactical Opportunities and Halliburton Company to money growth.

The backing bundle includes a $775m superior superior rise and a $225m secondary acquisition from existing stakeholders.

VoltaGrid plans to usage these funds to enactment the enlargement of its behind-the-meter powerfulness procreation solutions targeting information centres, microgrid operations and assorted concern applications.

The institution has besides entered into a definitive statement to get Propell Energy Technology and its affiliates, which supplies VoltaGrid with manufacturing and exertion improvement services.

The operation aims to reenforce VoltaGrid’s presumption arsenic an end-to-end powerfulness procreation platform.

VoltaGrid expects the acquisition to supply proviso concatenation advantages and trim operational risks, peculiarly successful fulfilling its 7.5GW bid publication done 2030.

Propell, established successful 1978, employs astir 1,000 radical successful the US and Canada. Its squad supports a scope of services including probe and development, manufacturing, integration and after-sales support.

VoltaGrid intends to incorporated Propell’s workforce and manufacturing expertise, which covers reciprocating engines and turbine technologies, to heighten its work offering.

As portion of the transaction, VoltaGrid has outlined contiguous investments aimed astatine expanding Propell’s existing facilities successful Granbury, Texas. This enlargement volition see the operation of 2 next-generation automated plants.

The accrued capableness is expected to scope astir 300MW per month, utilising some reciprocating engines and turbines.

Both the equity concern and the acquisition stay taxable to customary closing conditions, with completion anticipated by mid-2026.

VoltaGrid laminitis and CEO Nathan Ough said: “Blackstone’s standard and assemblage expertise marque them an perfect spouse arsenic we accelerate the deployment of our behind-the-meter powerfulness solutions to conscionable unprecedented lawsuit demand.

“The acquisition of Propell adds proven engineering and integration capabilities that volition further widen our exertion and operational enactment arsenic we proceed to scale.”

Goldman Sachs & Co. advised VoltaGrid connected fiscal matters, portion Kirkland & Ellis and Sidley Austin provided ineligible counsel.

Morgan Stanley served arsenic pb fiscal advisor to Blackstone, with further proposal from Lazard, and Simpson Thacher & Bartlett acted arsenic Blackstone’s ineligible counsel.

Deloitte Corporate Finance advised Propell connected fiscal matters, with Mogan Daniels Slager arsenic ineligible advisor.