Fluence Secures $125 Mn From QIA to Accelerate Energy Storage Technology

QIA has committed to invest USD 125 million in Fluence, which intends to use the net proceeds to accelerate the development of its offerings

Fluence, a leading global energy storage solutions provider, has announced that it has entered into a definitive agreement with the Qatar Investment Authority (QIA) pursuant to which QIA will commit to invest USD 125 million in the storage company through a private placement transaction. Fluence intends to use the net proceeds from the private placement to further accelerate the development of its product offerings, particularly digital products, and deployment of existing products in more markets globally

QIA’s investment brings another strong financial partner to The AES Corporation (AES) and Siemens joint venture, further supporting the firms’ mission to transform the way we power our world for a more sustainable future. AES and Siemens will remain major shareholders, each maintaining an approximately 44 percent stake following the completion of the transaction and will continue to support Fluence’s long-term growth.

“We believe the global problem of climate change can only be tackled by leveraging the combined capabilities of technologists and investors from around the world,” said Manuel Perez Dubuc, Fluence’s Chief Executive Officer. “We see energy storage as the linchpin of a decarbonized grid and adding QIA to our international shareholder base will allow Fluence to innovate even faster and address the enormous global market for large-scale battery-based energy storage.”

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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. Fluence’s mission and technology-driven offering aligns with QIA’s investment philosophy and QIA’s other recent green technology investments.

“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.”

Consummation of the transaction is subject to the satisfaction of customary closing conditions, including regulatory clearances.