London electrification specialist ‘powers’ global expansion via £600m investment

Zenobē, a London based provider of end-to-end solutions in fleet electrification as well as battery storage solutions, today announced that it has secured an investment of £600m from KKR, a global investment firm.

In addition, a further £270m of equity has been invested by existing shareholder Infracapital. Upon completion of the transaction, which is subject to customary closing conditions and regulatory approvals, KKR and Infracapital will become joint majority shareholders in Zenobē. Jera and TEPCO Power Grid will remain as minority, strategic shareholders.

The equity investment, as well as the added expertise and global network KKR brings to the company, will complement Infracapital’s presence in Europe and play a crucial role in supporting Zenobē’s growth initiatives in the UK, North America, Europe, Australia and New Zealand.

The investment will fuel the expansion of the company’s fleet electrification and grid-scale battery storage business, accelerating the decarbonisation of fleet transportation and maximising the uptake of renewables.

As governments look to decarbonise, they are increasingly focused on transport emissions. According to the Intergovernmental Panel on Climate Change (IPCC), the movement of passengers and freight in road transport is the largest contributor to carbon emissions in the transport sector.

Today, Zenobē supports more than 1,000 electric buses, trucks and commercial vehicles worldwide, and has worked with operators to deploy vehicles in over 75 depots ranging from Glasgow and Coventry in the UK to Sydney and Melbourne in Australia.

Funding from the equity investment will significantly expand the number of electric vehicles and charging equipment supported by the company. By 2026, Zenobē aims to support 4,000 electric buses, trucks and commercial vehicles on the road.

With the International Energy Agency (IEA) predicting that renewables will make up 35 per cent of global power generation by 2025, grid-scale battery storage will play a key role to ensure this power is not wasted.

Zenobē currently has 430 MW of contracted grid-scale battery storage in the UK in operation or under construction, including its landmark 100MW battery storage asset at Capenhurst, Cheshire.

This latest equity investment will enable the business to accelerate its offering with the design and construction of two additional battery storage sites across Scotland at Kilmarnock South and Eccles. It will also enable the extension in capacity of the company’s battery storage asset at Blackhillock.

By Matthew Neville – Senior Correspondent, Bdaily

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