Eos Energy and Cerberus launch energy storage venture with $100M investment

PITTSBURGH — Eos Energy Enterprises Inc. and Cerberus Capital Management LP announced a new company, Frontier Power USA, with $100 million from Cerberus and a plan to increase the deployment of Eos’ energy storage systems.

The Pittsburgh-based Eos (Nasdaq: EOSE) is a leader in the growing field of long-duration energy storage with zinc bromide technology that is assembled at its plant in Turtle Creek. Frontier Power USA will combine Eos’ technology, Cerberus’ capital and other expertise and $1.5 billion in underwriting and technology performance insurance from the Ariel Green division of insurer Ariel Re.

Frontier Power USA would build, own and operate as an independent power producer with long-duration energy storage projects using Eos’ technology. It would start with Eos’ pledge for the manufacturing of 2 gigawatt-hours of capacity reservation for Frontier Power USA; that’s enough power for between 150 and 200 homes for a year. Beyond the $100 million from Cerberus, Eos would also fund an equity stake in the company with a $150 million rights offering.

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