Energy Vault Strikes Deal to Provide Gravity Storage in China
(Bloomberg) -- Energy Vault Inc., a provider of systems that store energy by elevating heavy objects, agreed to license its technology to a company that plans to build storage facilities in China.
Atlas Renewable LLC will pay $50 million in 2022 for a multi-year licensing agreement and will begin construction in the second quarter on the first project outside Shanghai, according to a statement Tuesday from Energy Vault, marking the storage company's first deal in China.
Projects using Energy Vault's technology are already under development in North America, Australia and the Middle East, and expanding into China is a significant validation of the company's design, according to Chief Executive Officer Robert Piconi. The country is the world's biggest source of greenhouse gases that cause climate change, and will need to invest heavily in renewables and storage to achieve its goal of net-zero emissions by 2060.
“China is going to be the world's biggest growth market for storage over the next 10 years, “ Piconi said in an interview.
Energy Vault stores energy using a system of electric motors and large blocks, each weighing 35 metric tons. The blocks are lifted from the ground when electricity is available or cheap and then lowered -- running the process in reverse -- to generate power when needed. Atlas's first project will have about 100 megawatt-hours of capacity and will take up about 2.5 acres.
Energy Vault is in the process of going public by merging with Novus Capital Corp. II, a special purpose acquisition company. Piconi said the transaction is expected to conclude in mid-February. The deal will give the combined company an implied pro-forma enterprise value of $1.1 billion and will provide up to $488 million in gross cash proceeds. That includes investment commitments that are now worth $200 million after Atlas, which is majority owned by China Tianying Inc., also agreed to provide another $50 million in private-placement funding.
©2022 Bloomberg L.P.
-
AI Bias In Investing Cannot Be Eliminated, But It Can Be Governed
Framing is a particularly important example as identical financial information presented in terms of gains rather than losses can lead an LLM to reach a different assessment.
-
Joining The Dots | Dark Skies, Steady Diya: Why Hope Holds This Diwali
With war, a weak rupee and foreign outflows weighing on sentiment, policymakers at the NDTV World Summit and market veterans at NDTV Profit Ignite: Diwali Edition offered the same advice: stay invested and filter out the noise.
-
The Curious Case of Equitas Small Finance Bank And A CEO Who Quit For Stock
PN Vasudevan believes persistent investor concerns over a perceived conflict of interest had become a governance overhang on Equitas Small Finance Bank's stock, even as the lender improved profitability and asset quality.
-
Talking Points This Week: AI Cash Burn, A Tiger Comeback And An India That Still Finds Its Own Path
India is not immune to higher oil or tighter global liquidity, yet its earnings base is broader, its domestic policy levers are still available.
-
Foreign Investors Own Half Of HDFC Bank and ICICI Bank. An LTCG Cut Could Matter Most Here
Foreign portfolio investors have US$115 billion parked in HDFC Bank, ICICI Bank. If the government cuts long-term capital gains tax, Jefferies says returning foreign money could land here first.
-
'Never Seen This Level Of Negativity': Sandeep Tandon Says The Next Rally May Be Closer Than You Think
Veteran investor Sandeep Tandon says foreign selling is easing, large-caps are due a comeback and mid-caps are crowded, while he turns positive on gold, power and pharma this Diwali.
-
Indians Stay With Family, Not In Hotels | The Reason Why
India still lacks enough clean, reliable and affordable hotels for budget-conscious travellers.
-
The Economic Imperative: Analysing The Material Driving Force Behind India-Canada Strategic Reset
This economic complementarity is further reinforced by deep institutional investment ties and talent mobility, which form the bedrock of the bilateral framework.
-
Medicine Pricing: Where Must Profit Stop?
India must confront excessive margins, hidden incentives and regulatory gaps that threaten the integrity of medicine.
-
Why Amazon And Flipkart Are Struggling To Beat Meesho In India's Smaller Cities
With 274 million users and lowest-cost logistics, Meesho is defending its value commerce crown against giants like Amazon and Flipkart.
