Captona, a leading energy transition investment firm, has completed a preferred equity deal for three standalone utility-scale Battery Energy Storage Systems (BESS) in Texas, with a combined capacity of nearly 1 GWh. Developed by esVolta, LP, a portfolio company of Generate Capital specializing in energy storage projects, these systems are currently under construction. Captona structured the financing and secured capital from its equity partner for the investment. This milestone comes during a period of significant growth for Captona, which is nearing $3 billion in enterprise value.
Captona has recently made several investments in energy projects, including storage, solar, and microgrids, using its innovative preferred equity structure. These include a partnership with UBS Asset Management to invest in four utility-scale battery energy storage systems (BESS) in Texas and the development of community solar and microgrid assets in New York with Scale Microgrids.
Izzet Bensusan, CEO and Founder of Captona, said in a statement, “This transaction reflects our mission to advance innovation and reliability in the energy transition. These state-of-the-art storage systems will support grid resilience, enhance renewable energy integration, and help address the demand challenge in ERCOT. We are proud to partner with esVolta to drive the energy future forward.”
Three battery energy storage systems, named Anole, Desert Willow, and Burksol, are set to play a key role in supporting Texas’ power grid. These systems, located in Seagoville, Midlothian, and Afton, Texas, will provide fast and reliable clean energy to help meet the state’s growing electricity needs. They are expected to begin commercial operations in the first half of 2025. Kirkland & Ellis LLP acted as legal advisors for Captona and its equity partner, while Morgan Lewis & Bockius provided counsel to esVolta.
