On December 29, 2021, Hydrostor Inc., a developer of Advanced Compressed Air Energy Storage (A-CAES) projects, secured a US$250-million preferred equity financing commitment from Goldman Sachs Asset Management's Private Equity and Sustainable Investing businesses.
This is one of the largest investments in the emerging long-duration energy storage sector. Energy storage is becoming more important as utilities around the world begin to phase out fossil-fuel generation in favour of more renewables.
Proceeds from this transformational financing will accelerate Hydrostor's 8.7 GWh A-CAES projects in Australia and California, and expand its project development pipeline globally.
Davies Ward Phillips & Vineberg LLP acted for Hydrostor in securing the financing, with a team that included Brooke Jamison, Anthony Spadaro, Daniel Pearlman, Trevor Kirsh, John Aziz, Kate Szendrey, Jeffrey Nadler and Stephen Vincelli (Corporate); Andrew Ellis, Jennifer Lee and Zachary Kling (Tax); Alexandria Pike and Robyn Barabash (Environmental and Indigenous); and Jim Dinning (Competition, Antitrust and Foreign Investment).
Goldman Sachs was represented by Vinson & Elkins LLP (United States) and Osler, Hoskin & Harcourt LLP (Canada).
Osler’s team consisted of James Brown, Aqeel Virk (Corporate), Kaeleigh Kuzma, Danielle Chu (Competition & Antitrust), Damian Rigolo, Carrington Hickey (Employment & Labour), Patrick Welsh (Environmental), Julien Ranger, Jonathan Wypych (Pensions & Benefits), Ryan Nielsen, Joshua Disenhouse (Real Estate), Matias Milet, Dov Begun and Jennifer Horton (Tax).