Stem, Inc. Expands into Ontario with $200M Commitment From Ontario Teachers’July 23, 2018
Stem, Inc. Expands into Ontario with $200M Commitment From Ontario Teachers’
New investors complete Stem’s corporate Series D second close at $110M
MILLBRAE, Calif., July 24, 2018 (GLOBE NEWSWIRE) — Stem, Inc., the global leader in artificial intelligence (AI)-powered energy storage, today announced that Ontario Teachers’ Pension Plan (Ontario Teachers’), an original Series D investor, has provided the company with a C$200 million commitment to finance the acquisition of AI-driven energy storage projects in the Ontario market.
Stem also announced its second close of Series D financing with an additional US$26 million investment, led by BNP Paribas and Magnesium Capital among other investors. Today’s second close brings Stem’s total Series D round to nearly US$110 million.
With the expansion of corporate and project equity, Ontario Teachers’ will help Stem deliver fully-financed energy storage systems for its customers in Ontario to lower their energy bills and reduce their Global Adjustment, or peak-demand costs. Stem and its partners anticipate the funds to be fully utilized within the next 12 months.
“Our project financing partnership with Ontario Teachers’ enables us to further invest in Ontario and present customers with a stable, long-term offer to drive down energy consumption costs,” said John Carrington, CEO of Stem, Inc. “Moreover, Stem continues to attract top-tier international asset management interest in our ability to transform electricity grids with vast energy storage networks and our superior artificial intelligence platform.”
Ontario Teachers’ Senior Managing Director Dale Burgess commented: “Stem represents a proven first mover in the storage sector with an innovative solution that drives value for its customers. Ontario Teachers’ believes there is significant value in providing a firm and competitive financing solution for industrial customers in Ontario.”
Stem entered the Canadian market in January 2018 with its Global Adjustment offering—specifically designed for Ontario—which is ideal for large manufacturing plants and other industrial operations that seek improved control over energy costs.
Stem has the largest project finance pool among its peers, now over US$650 million, enabling Stem’s 860 energy storage systems under management across five states and three countries (U.S., Japan, and Canada). Athena™ , Stem’s cutting-edge AI, is the first of its kind for customer-sited energy storage, performing real-time energy optimization that reduces onsite peak demand and enabling customers to participate via Stem’s networks to access additional services and value streams.
About Stem, Inc.
Stem creates innovative technology services that transform the way energy is distributed and consumed. Athena™ by Stem is the first AI for energy storage and virtual power plants. It optimizes the timing of energy use and facilitates consumers’ participation in energy markets, yielding economic and societal benefits while decarbonizing the grid. The company’s mission is to build and operate the smartest and largest digitally-connected energy storage network for our customers. Headquartered in Millbrae, California, Stem is directly funded by a consortium of leading investors including Activate Capital, Angeleno Group, BNP Paribas, Constellation Technology Ventures, Iberdrola (Inversiones Financieras Perseo), GE Ventures, Magnesium Capital, Mithril Capital Management, Mitsui & Co. LTD., Ontario Teachers’ Pension Plan, RWE Supply & Trading, Temasek, and Total Energy Ventures. Visit www.stem.com for more information.
About Ontario Teachers’ Pension Plan
The Ontario Teachers’ Pension Plan (Ontario Teachers’) is Canada’s largest single-profession pension plan, with $189.5 billion in net assets at December 31, 2017. It holds a diverse global portfolio of assets, approximately 80% of which is managed in-house, and has earned an average annualized rate of return of 9.9% since the plan’s founding in 1990. Ontario Teachers’ is an independent organization headquartered in Toronto. Its Asia-Pacific region office is located in Hong Kong and its Europe, Middle East & Africa region office is in London. The defined-benefit plan, which is fully funded, invests and administers the pensions of the province of Ontario’s 323,000 active and retired teachers. For more information, visit otpp.com and follow us on Twitter @OtppInfo.
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