BlackRock adds to BESS portfolio with Jupiter deal

BlackRock adds to BESS portfolio with Jupiter deal

BlackRock adds to BESS portfolio with Jupiter deal 1024 683 Energy Storage Journal

November 17, 2022: US energy storage operator and developer Jupiter Power said on November 15 it had been acquired by a business unit of global fund manager BlackRock for an undisclosed sum.

Jupiter’s owners, private equity firm EnCap Investments, said the sale through the EnCap Energy Transition Fund I (EETF I) with co-investment partners Yorktown Partners and Mercuria Energy, should close before the end of 2022.

Jupiter, founded in 2017, owns a 655MWh BESS fleet in Texas, has another 340MWh of new projects in or “near” construction — including its first project in California — and a pipeline of more than 11,000MW of other projects it says are in active development.

Earlier this year, Jupiter closed a stand-alone storage portfolio debt financing of its operating units and announced a collaboration to secure 2,400MWh of battery storage systems for projects slated for 2024-2025.

EnCap was an early investor in Jupiter. The sale to BlackRock’s Diversified Infrastructure business, part of BlackRock Alternatives, is the second exit transaction by EnCap’s $1.2 billion EETF I.

In addition to Jupiter, EETF I has backed a range of renewable power and battery storage companies.

Jupiter CEO Andy Bowman said: “Acquisition of Jupiter’s uniquely capable energy storage platform is another sign that energy storage is maturing into an important new player in the electricity business with a critical role to play.”

BlackRock’s acquisition follows its announcement on August 16 that it was injecting A$1 billion ($700 million) in capital to support the roll-out of 1GW of battery storage projects across Australia, as part of its purchase of Melbourne-based renewables developer Akaysha Energy.

Photo: Jupiter’s Swooze I BESS project in Texas