Energy firm investing in future
Aggreko makes £40m move into battery power
Younicos, based in Germany and the US, has invested heavily in R&D since it was founded in 2005. It has more than 200 MW of installed storage systems, with a strong pipeline across both developed and emerging markets.
Its CEO Stephen Prince will report directly to Chris Weston, Aggreko chief executive. For the calendar year 2016, it had revenues of £7m and made an operating loss of £15m. Gross assets at 31 December 2016 were £20m.
Aggreko expects the company to be loss making in the short term and therefore earnings dilutive. The investment will be made in cash.
Mr Weston said: “As energy markets continue to decarbonise, decentralise and become more digital, the integration and control of multiple energy sources, including thermal and renewable, will be essential to ensure the provision of reliable power.
“As a pioneer of smart energy solutions based on battery storage, Younicos is at the forefront of this trend. Together we are a powerful combination; our scale, fleet and global presence, coupled with a smart energy capability, will allow us to open up new markets and provide our customers around the world with a reliable, cheaper and cleaner source of energy.”
Mr Prince added: “We are delighted to be joining with a market leading power provider in Aggreko. Batteries are an economically attractive and reliable asset which will play an increasing role as we transition from today’s energy market to the energy market of the future.
“Integration and management of multiple distributed energy sources will be necessary to optimise energy systems and deliver customers with greater stability at a lower economic and environmental cost.”