BW ESS has agreed to acquire the remaining shares of Penso Power, strengthening its position in the global energy storage market.
Previously the largest shareholder, BW ESS’s acquisition will include the founders of Penso Power becoming shareholders and joining the senior management team of the combined entity.
The merger aims to enhance BW ESS’s capabilities in engineering, project delivery, commercial operations, and business development within the utility-scale energy storage sector. It will also give the firm additional energy storage assets, adding Penso Power’s UK and Australian pipeline of over 2 GW to its existing operational assets in Sweden and more than 1 GWh of projects under construction in the UK, Sweden, and Australia. The combined portfolio now includes approximately 5 GW across various regions.
The two companies have already collaborated together on the construction of new energy storage projects, such as the 331 MWh Bramley project in Hampshire, which is expected to be energised in Q4 2024. They also worked together on Minety, a 136 MWh project developed and delivered by Penso Power in Wiltshire, UK.
By joining forces, the combined firm should be able to better leverage the growth in the market for utility-scale battery storage, which is expected to surpass US$120 billion by 2030, with an annual growth rate of 21%.
Erik Strømsø, CEO of BW ESS, stated, “We have worked closely with Penso Power since 2021 and already view them as trusted colleagues. Our teams have together entered new markets and pioneered innovative energy storage solutions. The combination of Penso’s pioneering development and engineering expertise with our global corporate platform creates substantial synergies and is a natural next step that readies us for continued growth and investment in a rapidly evolving global energy storage landscape.
“I’m excited to welcome the whole Penso Power team as fully-fledged colleagues. With their expertise and experience onboard, we are a meaningful step closer to achieving our mission of unlocking the value of energy storage, which is crucial to enabling and accelerating the energy transition.”
Richard Thwaites, CEO of Penso Power, commented, “Penso Power is proud to be a pioneer in grid-scale energy storage since 2017. We delivered Europe’s first 100MW project at Minety in 2020, a project that also secured the first revenue floor contract for a large grid-scale battery asset. More recently, we have built the 331MWh Bramley project in Hampshire in partnership with BW ESS and that project secured the first single-asset toll agreement for a battery asset in the UK.
“Our partnership with BW ESS since 2021 has enabled us to build out the Penso Power team and enter new markets in Italy and Australia. This transaction completes the evolution of the Penso Power business to become part of a global energy storage platform. Working as one team, we’ll leverage our combined skillsets and experience to capitalise on new and emerging opportunities across global energy storage.”