Brazil’s UCB Power raises $24m from Inter-American Development Bank

Brazilian energy storage company UCB Power has raised BRL 150 million ($24.2 million) to expand its operations in Manaus and in Extrema, in Minas Gerais state, including plans to expand its factories.

The finance was obtained from the US-based Inter-American Development Bank (IDB) which backs development in Latin America and the Caribbean.

The package, supplied with the development bank’s IDB Invest arm, will include support for renewables systems, digitalization, production automation, and socio-environmental and governance improvements. UCB said it will invest the cash in battery energy storage systems (BESS), lithium ferro-phosphate batteries for hybrid electric vehicles, and its battery-as-a-service sales in Brazil and the wider region.

“This investment from the IDB plays an important role in accelerating our mission to bring sustainable and affordable energy, including to the most challenging regions of the Amazon, contributing to a more sustainable, decarbonized, and inclusive future while at the same time placing the company at the forefront of developing solutions aimed at the energy transition, such as the use of BESS, an integrated energy storage solution on the grid, and the use of batteries in residential and commercial applications,” said UCB Power chief executive Ronaldo Gerdes.

The finance has an up-to-five-year term, competitive interest cost, and environmental and financial incentives. The package includes a revolving credit line to finance imports.

From pv magazine Brasil.