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On Wednesday, Durham, North Carolina-based energy storage firm FlexGen announced that it has received a $150 million equity commitment from listed alternative investment manager Apollo Global Management. The investment is being made in partnership with FlexGen’s existing investors, which include Altira Group, the founding investor group led by Jerry Miller and Mark Dreyfus, Caterpillar Ventures, and GE Ventures.

Founded in 2009, FlexGen to date has supported more than 1.2 GWh in energy storage system deployments in the U.S. and abroad, serving utility, microgrid and commercial & industrial (C&I) customers. Per FlexGen, energy storage alone represents a multibillion-dollar market, as storage solutions are necessary to offset the intermittency and reliability challenges of using renewable power generation at grid scale. FlexGen’s own platform allows energy storage owners to use various power market strategies and combine storage solutions with any form of generation.

“Our work with Apollo will accelerate FlexGen’s growth, and the capabilities we can offer going forward while establishing the bankability that the market values when making energy storage investments,” said FlexGen CEO Kelcy Pegler, Jr., in a comment on the Apollo deal. “We are well-positioned at the most critical intersection of the clean energy transition—energy storage. We have spent the past decade building the most advanced integration solutions in the market—and now that market is ready to take-off.”

Energy storage assets play a crucial role in the transition to an economy powered by intermittent renewable energy sources,” said Apollo’s Senior Partner and Co-Lead of Natural Resources, Olivia Wassenaar. “This transition to renewable power is happening at a time where reliability and resiliency are more important than ever for the grid in the face of increasing extreme weather events. FlexGen’s energy storage solutions bridge the gap of reliability for the grid and help accelerate the adoption of renewables by shifting renewable power consumption to times when it is needed most. We are impressed with the business that the entire FlexGen team has built and see continued tailwinds for the Company as the industry evolves.”

The deal with FlexGen is the latest in a flurry of renewables-focused dealmaking for Apollo in recent time. Over the past 18 months, Apollo Funds have invested in U.S. Wind, an offshore wind developer; entered into a new venture with Johnson Controls to provide sustainability and energy efficiency services; formed a joint venture to accelerate the growth of renewables royalties company Great Bay Renewables; invested in electric-driven gas compression company TOPS; and agreed to invest in sustainable bioenergy producer AS Graanul Invest.

Additionally, the Apollo Fund-sponsored Spartan series of special purpose acquisition vehicles (SPACs) have announced or completed combinations with Fisker, an EV auto company; Sunlight Financial, a residential solar financing fintech, and most recently Allego, a leading pan-European EV charging company.

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