SK E&S to Invest Up to $400 Million in U.S. Energy Solutions Company

Establishing Strategic Partnership with Parent Company LS Power to Secure Mid- to Long-Term Growth Drivers

[Asia Economy Reporter Jang Sehee] SK E&S announced on the 18th that it will strengthen its business competitiveness in the energy solutions sector by investing up to $400 million (approximately 470 billion KRW) in a U.S. energy solutions company.

SK disclosed on the 18th that its subsidiary, SK E&S, will additionally acquire 42.525 million shares of its U.S. holding company subsidiary, SK E&S Americas, for about 505.3 billion KRW.

The purpose of the stock acquisition is to invest up to $400 million in 'Rev Renewable,' a leading company in the U.S. energy solutions sector, the company explained.

Rev Renewable is an eco-friendly energy specialist operating a total of 2.4 GW of green power assets across the U.S., including 290 MW of energy storage systems (ESS), 365 MW of solar power, 132 MW of wind power, and 1,620 MW of pumped storage power.

Energy solutions is a new industry sector that efficiently addresses issues arising from increased grid instability due to the expansion of renewable energy, and diversified consumer energy usage patterns caused by the spread of electric vehicles and distributed energy resources, by integrating ESS and artificial intelligence (AI) technologies.

SK E&S added, "It is also significant that through this investment, we have secured a strategic partnership with LS Power, the parent company of Rev Renewable."

LS Power, established in 1990, is a leading comprehensive energy solutions company in the U.S.

LS Power also owns subsidiaries such as EVgo, the third-largest company in the U.S. electric vehicle fast-charging market with about 840 fast-charging stations, and Recargo, the number one operator of mobile applications for electric vehicle charging stations.

An SK E&S official said, "Going forward, we plan to collaborate as strategic partners with LS Power in various energy solutions fields, including microgrid projects based on ESS and distributed power, and mobility solution businesses providing value-added services based on electric vehicle batteries."