12 April 2021
Infracapital, the infrastructure equity investment arm of M&G Plc, has signed an agreement to acquire a majority shareholding in EnergyNest, a leading Norwegian technology company. The investment will support the rollout of EnergyNest’s innovative Thermal Battery™ energy storage solutions to industrial customers, enabling the transfer of industrial waste heat into electricity and the use of renewable power in industrial heat processes.
EnergyNest specialises in providing low carbon technology solutions that remove high upfront costs for its customers. The agreement, which will see a total investment from Infracapital of €110m, will accelerate EnergyNest’s international growth plans as it seeks to play a crucial role in reducing carbon emissions and driving economic benefits within the power sector and other energy-intensive industries.
EnergyNest has an extensive pipeline of commercial projects, including a ThermalBattery™ for Italian energy company Eni, a “steam-on-demand” project with Norwegian chemical company Yara and a joint project with Siemens Energy for a leading Japanese energy company. An additional pipeline project aims to use excess renewable electricity to replace natural gas.
Infracapital will leverage its network and proven experience in developing high growth and sustainable essential infrastructure platforms to support EnergyNest in realising its growth ambitions, bringing an innovative technology and approach to decarbonisation in a growing market estimated to be worth more than €300 billion.
This investment comes from Infracapital’s greenfield strategy, which seeks to build, deliver and operate essential and sustainable greenfield infrastructure across Europe. It aims to meet the growing need for clean, new-build infrastructure to meet CO2 emission targets, whilst satisfying the changing needs of society and driving sustainable returns for investors. The investment follows Infracapital’s recent investment in Zenobe, the sustainable transport and power storage solutions business.
“We are excited to announce this partnership with EnergyNest. Its technology is providing innovative environmental and economic benefits. With Governments around the world putting in place ambitious carbon reduction targets, we see great potential for growth. We are delighted to play a role in providing a solution to store and decarbonise energy whilst creating long-term value for our investors.”
“Together with Infracapital we can deliver CO2 and energy cost savings to even more customers from day one. With our fully-financed turnkey solutions we make it easier for industry players to adapt our climate friendly technology at zero upfront investment costs. Infracapital are the ideal partner for us to grow EnergyNest internationally, with their invaluable experience and network.
If you require any further information, please contact:
Tom Murray / Guy Bates / Jordan McCulla tel. +44 20 7353 4200
Infracapital invests in, builds and manages a diverse range of essential infrastructure to meet the changing needs of society and support long-term economic growth. We take an active role in all of our investments, whether nascent or large, to fulfil their potential and ensure they are adaptable and resilient. Our approach creates value for our investors, as we target investments with the scope for stable and sustainable growth. Our portfolio companies work closely with the communities where they are based, to the benefit of all stakeholders. Infracapital is well positioned to deliver the significant investment required to help build the future. The founder-led team of experienced specialists has worked with more than 50 companies around Europe and has raised and manages over £6.5 billion of client capital across six funds.
Infracapital is part of M&G Plc, a leading European savings and investments business. M&G manages the long-term savings of more than 5 million people and is a major investor in the UK and in the global economy. Total assets under management and administration are £367 billion (as at 31 December 2020).
EnergyNest is a Norwegian technology company founded in 2011. The company has developed a highly flexible ThermalBattery™, which enables customers along the entire energy system to maximize the value of their energy. It is the first company to have developed thermal batteries on a market-ready level. EnergyNest has already several commercial projects under development with the first one to be finalised in the first half of 2021. EnergyNest’s technological solutions have been recently recognised with the following awards: Mission Innovation TOP 100 Global Innovations; Nordic Cleantech winner; Horizon2020 SME-I Award; WWF Climate Solver Award.