On.Energy – a proven end-to-end integrator of battery energy storage and an Independent Power Producer (IPP) – recently announced it raised $20 million in equity financing in a Series B round led by Ultra Capital. Phalanx Investment Partners also participated in the round and Wilson Sonsini served as On.Energy’s counsel. This investment brings On.Energy’s total equity raised to $30 million.
A major allocation of funds will be utilized to accelerate the development, construction, and operation of its energy storage systems in the Electric Reliability Council of Texas (ERCOT) market. And the company is in the process of constructing 300MWh of energy storage systems in the ERCOT region.
In connection with its investment, Kristian Hanelt, Ultra Capital Managing Director, will join On.Energy’s Board of Directors. And with over 15 years of project finance experience in the renewable energy sector, Hanelt’s insights on the board will be critical as On.Energy seeks to scale its operations in North America.
This corporate-level equity investment aims to strengthen On.Energy’s standing as a top-tier systems integrator and developer with proprietary software and a pipeline of over 2.5 GWh of projects in five countries, of which more than half are in North America.
“The power markets are rapidly recognizing that storage is the key to renewables integration, and with the improved affordability of lithium-ion batteries, utilities, and C&I customers are rapidly implementing these systems. On.Energy caught our attention due to its skilled and accomplished management team, as well as its proven capability to execute fully integrated energy storage projects. We believe On.Energy possesses all the necessary components to make a significant impact in this market, and I eagerly anticipate contributing to the company’s future expansion.”
— Kristian Hanelt, Ultra Capital Managing Director
“Our competitive advantage lies in our ability to pair extensive project execution experience and proprietary software with a demonstrated ability to originate, develop and finance battery energy storage systems (BESS) across various power markets. Ultra Capital has a profound understanding of project finance and the US capital markets, and I am confident they will be an ideal partner to support On.Energy’s ambitious growth plans.”
— Alan Cooper, On.Energy’s CEO