ABC agrees bipolar lead BESS projects deal for California, confirms $50m capital raise underway

Bipolar lead battery technology is to be deployed in a 646MWh energy storage deal for California, Advanced Battery Concepts announced on January 18.

ABC said its BOX-BE system, launched last September, will be supplied under an agreement with renewable power generation projects company Coram to benefit customers in the Coachella Valley and Los Angeles regions. The BOX-BE system uses the firm’s EverGreenSeal battery tech.

The Coram supply agreement is based on an initial project set consisting of three phases — an initial demonstration, followed by two installations at two different identified sites. The two sites, representing 646MWh, will require about 2,000 BOX-BE units.

The Palm Desert area of Southern California was an early adopter of renewable energy, hosting wind and solar farms that supply residential, commercial and agricultural locations with electricity.

However, the intermittency of renewable power supply means grid operators have had to turn to fossil power generation to meet peak electricity demand.

Coram founder and president Brian O’Sullivan said: “We look forward to working with ABC to commercialize its utility-scale BESS and address the only remaining issue for a fully renewable electric grid — the control, storage and on-command dispatchabil- ity of clean and economic electric energy.”

The California announcement comes after ABC founder and CEO Ed Shaffer confirmed to Energy Storage Journal on January 11 that a $50 million cash raise was underway to further advance development of the firm’s bipolar lead battery technology and products.

Shaffer had already told our sister publication, Batteries International (Autumn issue 125) that fresh investment was being sought, including for ramping up production at its Michigan plant.

Now the New York arm of investment bank Stephens has been named as the financial institution that is leading the series ‘C’ capital raise. This follows the series ‘B’ undisclosed growth equity round in October 2020 that was led by Nuveen, the global investment manager of TIAA Investments.

A series ‘C’ financing is typically for firms that are already quite successful. This type of funding is focused on scaling the company, growing it as quickly and as successfully as possible.

In addition to expanding manufacturing plant capacity, the latest capital injection will be used to support increased bipolar battery production — especially the new EverGreenSeal batteries and to satisfy BOXBE energy storage system orders we have in development, Shaffer said.

He said the company has already had “serious discussions” with various groups that have expressed interest in the capital raise and talks are ongoing.

“Current investors have committed to participating in the series ‘C’ round of investment, for which we are grateful.”

Private equity and venture capital investors have been circling the lead battery industry for well over the past decade. Their ownership can bring benefits but also difficult times — the only certainty with this type of parent is change. Wyn Jenkins and Michael Halls report.