Jul 10, 2019

Marathon Capital Advises Convergent Energy + Power on Acquisition by Energy Capital Partners

Marathon Capital, LLC (“Marathon”) is pleased to announce Convergent Energy + Power (“Convergent”), the leading independent developer of energy storage solutions in North America, has been acquired by Energy Capital Partners (“ECP”), a private equity and credit investment firm with ~$19 billion in capital commitments. Marathon served as the exclusive sell-side financial advisor to Convergent.

Since its founding in 2011, Convergent has raised and deployed over $70 million of equity and debt financing into over 120 MW / 240 MWh of energy storage projects. Convergent lowers electricity bills for commercial and industrial customers and helps utilities manage an increasingly decentralized and renewables-driven landscape. Convergent developed and operates the largest behind-the-meter energy storage system in North America and was the first to develop a non-wires-alternative for utility infrastructure. In a sector forecasted to expand 13 times over the coming five years, ECP’s acquisition includes funding for Convergent’s future pipeline of projects and provides Convergent with the resources to continue setting milestones for the energy storage sector.

Marathon executed a comprehensive marketing process for Convergent that generated a variety of offers from prospective investors and advised Convergent through the diligence, commercial structuring, and agreement negotiation deal phases.

“ECP’s acquisition enables us to continue our track-record of success knowing that we have the financial resources to execute any project that makes sense,” said Johannes Rittershausen, Chief Executive Officer of Convergent. “We appreciate Marathon’s contributions to this successful acquisition.”

“It was a pleasure to support Convergent on this transformative transaction, which we believe is the first corporate sale of an established energy storage developer and independent power producer in North America,” said Gary Greenblatt, Managing Director and Co-Head of New York City Office at Marathon. “With strong support from ECP, Convergent is well-positioned to rapidly grow and bring energy storage solutions to customers throughout North America.”

 

About Marathon Capital:

Marathon Capital is a leading financial advisory and investment banking firm focused on providing financial advice in the areas of M&A, capital raising of debt and equity, project finance, tax equity, financial restructuring, recapitalization, bankruptcy and workout situations in the energy sector. Marathon Capital is a four-time recipient of the "Best Renewable Asset M&A Adviser" Award, "Renewable Generating Project Finance Deal of the Year" Award (2016), first-time recipient of the "Best Asset M&A Adviser" (2017) and first-time recipient of the "M&A Adviser of the Year" (2019) in Power Finance & Risk's Annual Power Finance Deals and Firms Awards.

About Convergent Energy + Power:

Convergent Energy + Power (Convergent) is the leading independent developer of energy storage solutions in North America. Powered by results, Convergent manages all aspects of the energy storage asset development cycle to help customers navigate an increasingly expensive, decentralized, and renewable-driven energy landscape. Convergent deploys state-of-the-art technology to significantly lower commercial and industrial customers’ electricity bills and provide utilities with cost-effective grid solutions. With over 120 MWs and 240 MWhs of projects in operation, construction, or under contract, Convergent is also the largest independent operator of energy storage in North America. For more information, visit convergentep.com

About Energy Capital Partners

Energy Capital Partners is a private equity and credit investment firm with ~$19 billion in capital commitments. With offices in Short Hills, NJ, New York, NY, Houston, TX, San Diego, CA, and Seoul, South Korea. Energy Capital Partners leverages its team's decades of energy industry experience and expertise in investing and managing energy infrastructure assets and businesses to serve its investors and portfolio companies. The firm focuses on investing in the traditional and renewable power generation, midstream oil and gas, environmental infrastructure and related energy services sectors of North America's energy infrastructure. For more information, visit www.ecpartners.com.