Global energy storage solutions provider Fluence has entered into a definitive agreement with the Qatar Investment Authority (QIA) by which QIA will invest $125 million in Fluence through a private placement of equity.
QIA’s investment brings another strong financial partner to The AES Corporation (AES) and Siemens joint venture, further supporting Fluence’s mission to transform the way we power our world for a more sustainable future, a release from Fluence said.
Fluence intends to use the net proceeds from the private placement to further accelerate development of its product offerings, particularly digital products, and deployment of existing products in more markets globally.
AES and Siemens will remain major shareholders, each maintaining an approximately 44 per cent stake following the completion of the transaction and will continue to support Fluence’s long-term growth.
QIA is one of six founding members of the One Planet Sovereign Wealth Fund Initiative, which is building climate change into financial decision making, and the proposed investment further highlights QIA’s growing focus on the development of green technologies, the release noted.
Setting increasingly ambitious targets to cut carbon emissions, Fluence is helping accelerate the adoption of renewables and is allowing utilities and power producers to incorporate renewables at scale.
Fluence’s innovative technologies provide storage solutions for energy produced by wind farms and other renewable sources – a critical factor in the move towards a low-carbon economy.
“We are proud to partner with Fluence, which is at the forefront of the global drive to provide energy storage solutions,” said Mansoor bin Ebrahim Al-Mahmoud, QIA’s Chief Executive Officer. “We believe energy storage will play a key role in delivering cleaner, more sustainable and more resilient electric grids around the world. This investment further underpins our commitment to responsible investing for a low-carbon future.”
“Energy storage is a key pillar of the energy transition. Siemens has defined this as a significant long-term growth area,” said Matthias Rebellius, CEO of Siemens Smart Infrastructure and member of the Managing Board of Siemens AG. “QIA’s investment will support Fluence with its successful development in a dynamic market.”
Tech Stack
This year, Fluence announced its sixth-generation Tech Stack, comprised of integrated hardware, operating software and digital intelligence engines. Built on 12 years of proprietary operating data from systems in the field, the Tech Stack enables faster deployment of standardized, modular systems, lower balance of system costs, and highly customizable solutions to meet individual customer needs.