Zinc battery company Eos Energy secures $85m loan

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Zinc-based battery energy storage system provider Eos Energy Enterprises secured an US$85 million loan facility with Atlas Credit Partners (ACP).

The money will be used to expand Eos’ manufacturing capacity, develop the next generation of its energy storage systems and services, and for general corporate purposes, he said.

Financing from ACP, a private credit fund, consists of an amortization free term loan with a term of four years with a variable interest rate of SOFR (secured overnight financing rate) plus 8, 5%. The agreement also allows Eos to make a one-time request for an additional $15 million subject to lender consent.

Joe Mastrangelo, CEO of Eos, said, “This capital allows us to accelerate the expansion of our manufacturing capacity to accelerate the shift to clean energy and meet our $460 million backlog. .”

It builds on a US$200 million funding commitment the company recently received from one of its funding partners, as reported Energy-Storage.news.

The company’s backlog now stands at 1.9 GWh, much of which is a recently expanded multi-year supply framework agreement with renewable energy EPC and developer Bridgelink Commodities for the ERCOT market.

The heart of the company’s battery energy storage system solutions is its branded Znyth (zinc hybrid cathode) battery, which is stacked in systems offering a duration of between three and 12 hours. Its Energy Block solution offers up to 10 MW of power while the Power House starts at 10 MW.

The vast majority (90%) of demand for the company’s solution comes from the United States. As Energy-Storage.news recently reported, it is undergoing a 550 MWh expansion of manufacturing capacity at its Pittsburgh plant, of which 65 MWh was completed in the first quarter of 2022.

Drew Mallozzi, Managing Partner of ACP, added, “The company (Eos) has proven technology with a strong management team and is building a capital-efficient and scalable manufacturing model that ACP believes is poised to seize one of the greatest secular growth opportunities that we have identified in the energy sector.

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