US-based private equity firm Warburg Pincus has provided equity commitment of about $300m to distributed clean energy and microgrid company, Scale Microgrid Solutions (SMS).
SMS, established in 2016, designs, builds, operates and finances on-site power systems for commercial and industrial (C&I) customers across North America.
With its microgrid product and fully financed solution, the firm helps to accelerate the deployment of distributed energy assets.
Scale Microgrid Solutions CEO Ryan Goodman said “North America needs to rebuild its energy infrastructure in a far more sustainable way, which requires flexible and reliable behind-the-meter power solutions and access to efficient financing for customers.
“This is particularly timely in regions like California and the Pacific Northwest, but is also relevant in the Northeast, as C&I customers demand more reliable, cheaper and cleaner energy solutions.
“Our focus on deploying fully financed distributed energy solutions and microgrids will position us well to capitalize on this next wave of growth.”
SMS plans to focus on improve its R2M2 offerings in 2020
The firm is planning to focus on growing its Rapid Response Modular Microgrid (R2M2) offerings in the current year.
SMS said that it has developed and deployed the R2M2 technology to help California businesses in dealing with the threat of wildfires and public safety power shutoffs.
Scale Microgrid Solutions chief operating officer Tim Hade said: “Warburg Pincus’ deep experience in the energy, technology and financial services sectors, paired with their strong track record in supporting management teams to build businesses of scale, will be invaluable as we pursue our vision to make distributed energy solutions more accessible.”
The management team of SMS is led by Ryan Goodman, who recently worked as the president of ENER-G Rudox, a distributed energy company, which Centrica acquired in 2016.
Warburg Pincus is a major global private equity firm that has raised 19 private equity funds, which have invested over $81bn in more than 890 companies in over 40 countries.
