Eos Energy Enterprises, a provider of safe, scalable, efficient and sustainable zinc-based energy storage systems, closed an $85 million senior secured term loan facility with Atlas Credit Partners (ACP).
“We are excited to partner with ACP on this transaction which increases our financial flexibility,” Joe Mastrangelo, CEO of Eos, said. “This capital allows us to fast-track our manufacturing capacity expansion to accelerate the shift to clean energy and to deliver against our $460 million orders backlog.”
The growth of the company’s orders backlog, which now stands at 1.9 GWh, is being driven in part by the recognition from customers of the simplicity and flexibility of Eos’ energy storage systems that are made in the U.S.A.
“It is an honor and privilege to partner with Eos,” Drew Mallozzi, managing partner of ACP, said. “The company has a proven technology with a strong management team and is building a capital efficient and scalable manufacturing model that ACP believes is poised to capture one of the largest secular growth opportunities that we have identified in the energy industry.”
After closing costs and other expenses, the funding will provide capital for the company’s continued manufacturing capacity expansion, development of next generation energy storage systems and services and for general corporate purposes. The financing consists of a four-year, non-amortizing term loan that bears interest at a variable rate of SOFR plus 8.5%. The credit agreement also permits the company to make a one-time request for an additional commitment of up to $15 million, subject to lender consent.
