Stem, Inc. (“Stem” or “the Company”) (NYSE: STEM), a global leader in artificial intelligence (AI)-driven clean energy storage services, announced it has entered into a memorandum of understanding (MOU) with respect to a new financing partnership with CleanCapital, a leading clean energy investment platform and one of the largest owner-operators of distributed solar assets in the United States. Under the terms of the MOU, Stem and CleanCapital will work to develop a framework whereby Stem will provide its expertise and support for smart energy storage services—including storage hardware and Athena® smart energy software—to developers as CleanCapital’s preferred energy storage provider with right of first refusal in favor of Stem for all of CleanCapital’s storage projects that the parties originate together.
In April 2021, CleanCapital announced a $300 million corporate investment commitment from Manulife Investment Management to expand its portfolio of clean energy assets. With Stem as its new partner, CleanCapital expects to actively pursue investments in standalone energy storage, solar retrofits to add storage, and new-build solar plus storage projects.
The proposed partnership will focus on mid-market commercial energy storage and small utility front-of-meter (FTM) projects up to 30 megawatts (MW) across the United States. The partners will target commercial & industrial (C&I) end users and electric cooperatives—including deployments that qualify for the Solar Massachusetts Renewable Target (SMART) Program, a state initiative that promotes cost-effective solar development with customer-facing and grid service benefits.
“Partnering with CleanCapital, which has the financial backing of one of the world’s largest institutional investors, means we can help more renewable energy companies contribute to the clean energy revolution,” said Alan Russo, Chief Revenue Officer at Stem. “Adding this committed source of financing to Stem’s expertise and Athena® smart energy software enables our team to develop the highest quality assets for long-term owners. We look forward to creating additional value for our energy partners as CleanCapital augments and grows its storage portfolio.”
“Energy storage represents a tremendous opportunity as the world transitions to clean energy. We are thrilled to pursue this market by partnering with Stem, a clear leader in AI-driven energy storage,” said Jon Powers, Co-founder & President of CleanCapital. “We look forward to working closely with Stem to help finance the ongoing development of energy storage across the country.”