Stem has also agreed to purchase Energy Holdings, a private company, ia case is worth it $ 695 million in cash and stocks.
According to a joint press release Released Thursday, the merger will merge Stem’s storage optimization capabilities with AlsoEnergy’s solar asset performance monitoring and control software.
Stem will pay 75% of the total consideration in cash and approximately 25% in common shares of Stem.
At the start of trading on the NYSE, Stem stock jumped 5.30% to around $ 18.90.
In the statement, Stem CEO John Carrington said the combined company will bring unique software, controls and analytics capabilities to accelerate the energy transition to a more renewable and carbon-free future.
âAs the battery storage and solar energy industries continue to experience tremendous global growth, developers, asset owners and utilities will increasingly look to our combined software capabilities to provide a platform. -unified energy intelligence form that improves project performance, âhe said. âThis acquisition underscores our commitment to expand Stem’s global reach and provide our customers with market-leading, high-margin software products.
The companies hope the transaction will accelerate Stem’s growth and expand the company’s global reach, while providing recurring software revenue and higher margins.
The combination will also add 32.5 gigawatts of solar assets in 50 countries to Stem’s existing software services platform.
In an interview with Capital.com, Brian Kuney, regional vice president of South Carolina Manufacturing Expansion Partnership (SCMEP) in the United States, said that “the inclusion of environmentally friendly solutions for industry will one day become the sum of the market”.
SCMEP, a subsidiary of the National Institute of Standards and Technology, reports to the US Department of Commerce to promote innovation and industrial competitiveness.
âAs manufacturers and suppliers begin to plug into more sustainable innovations, they are also establishing a roadmap for future infrastructure,â he said.
Stem provides advanced energy storage services through an AI-based analytics platform, enabling customers to optimize power consumption by automatically switching between battery power, on-site production and the mains supply.
The company’s client list includes Fortune 500 companies, project developers, utilities and independent power producers.
AlsoEnergy was established in 2007 in Boulder, Colorado. Today the company works in performance, analysis, monitoring and control services as a supplier to multiple stakeholders in the solar ecosystem.
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