Element Energy Secures $111 mn to Propel Breakthrough Battery Management Tech

Dollar in Green Business

Menlo Park-based Battery Management Technology company, Element Energy, has sealed a significant financial milestone, closing a substantial $111 million in capital. This funding comprises a $73 million Series B equity investment alongside a $38 million debt facility, facilitated by Keyframe Capital Partners.

The Series B round, co-led by a major U.S. clean energy generation company and Cohort Ventures, saw participation from esteemed names including Mitsubishi Heavy Industries (MHI), Drive Catalyst, FM Capital, and AFW Partners. This round also welcomed back existing investors LG Technology Ventures, Edison International, Prelude Ventures, and Radar Partners. Keyframe’s involvement, with its expansive investment scope, aims to tackle capital market challenges and foster innovation.

Established in 2019, Element Energy has honed proprietary hardware and software algorithms applicable to both initial and secondary life batteries, dedicated to enhancing visualization, battery safety, and overall efficiency. The company’s technology is undergoing validation on a large scale through a 50 MWh pilot project in the United States, slated for completion in early 2024. This initiative aims to accumulate essential data, secure UL certification, and pave the way for commercialization.

Dr. Tony Stratakos, CEO and Co-Founder of Element Energy, expressed, “The additional capital and global partnerships from our Series B round will empower us to expand investment and implementation of our technology across target markets and applications.”

This includes Software as a Service (SaaS) for existing and new energy storage systems, hardware and software for novel energy storage systems, and complete battery energy storage systems utilizing second life batteries.

Element Energy has already received and evaluated nearly 2 GWh of second life batteries, actively collaborating with partners to deploy them in utility-scale applications before the year concludes.

The investment from Mitsubishi Heavy Industries (MHI) signifies a strategic move to propel advancements in battery energy storage system technology and supply chain development. Additionally, MHI and Element have penned a memorandum of understanding (MOU) to jointly develop cost-effective power system solutions for behind-the-meter applications.

Aside from its focus on first and second life battery projects, Element plans to integrate its software as a service with a prominent battery Operations and Maintenance (O&M) provider. The company is also exploring opportunities to apply its technology to electric vehicle batteries, signaling a broader scope for future applications.