Stem, a US-based energy storage firm, has reached a formal deal to purchase AlsoEnergy, a developer of solar asset management software, for $695 million in stock and cash.
By integrating Stem’s storage optimisation skills with AlsoEnergy’s solar asset performance monitoring and control software, the partnership aims to offer a “one-stop shop” solution for renewable energy projects. Stem has also committed to supply smart energy storage solutions to AlsoEnergy’s current front-of-meter, commercial, and industrial customers.
AlsoEnergy is projected to profit from the purchase by increasing its visibility in the solar and storage project categories through Stem’s customer and partner network.
“Through this immediately accretive merger, a combined Stem and AlsoEnergy will deliver the unique software, controls, and analytics expertise to expedite the energy transition to a renewable, decarbonised future,” stated Stem CEO John Carrington.
Stem will offer around 75% of the total acquisition price in cash and approximately 25% in common stock, according to the terms of the deal. Subject to usual closing conditions and regulatory clearances, the transaction is scheduled to conclude in the first quarter of next year.
“Combining our company with Stem will unlock enormous value for clients as they increasingly focus on integrating solar and energy storage assets to optimize financial performance,” said Energy CEO Robert Schaefer.
“We are excited to be joining the Stem team, and we believe that our combined software offering will be a vital component in shaping the grid’s future.”
AlsoEnergy was founded in 2007 and provides performance, analytics, monitoring, and control solutions to a variety of stakeholders in the solar power industry. Currently, the firm controls 32.5GW of solar power across more than 50 nations.
In 2018, it decided to combine with Skytron Energy, a German solar software and hardware business, and bought Draker’s assets for an unknown fee.