Friday Funding: Form Energy Raises $450 Million
By: James Flippin · October 07, 2022 · Reading Time: 3 minutes
Fresh Capital For Batteries
Form Energy, a Massachusetts-based battery storage company, recently raised $450 million in a Series E funding round led by TPG Rise. Other major investors include the Canada Pension Plan Investment Board, Bill Gates’ Breakthrough Energy Ventures, and ArcelorMittal.
The company previously raised over $350 million and reached a valuation of $1.2 billion in mid-2021.
With this fresh funding, Form Energy hopes to tackle a major problem related to renewable energy battery storage.
What Are “Iron-Air” Batteries?
It’s very common to hear concerns over renewable energy. For example, what happens to solar when it’s cloudy? While renewable energy sources are great when they work, they are less reliable than fossil fuels.
One of the greatest challenges is modern battery technology. Most can only store energy for a few hours at a time. So, when relying exclusively on solar power, outages could result if weather conditions are sub-optimal. This is what Form Energy aims to fix.
Form Energy is working on new battery technology that will utilize iron pellets. This works by taking in oxygen and converting iron to rust. Then, the process reverses. The rust is converted back into iron and breathes out oxygen. This process charges and discharges the battery.
Using iron, an abundant natural resource, should help Form Energy avoid the supply bottlenecks and high costs associated with more traditional battery materials, such as lithium.
Another EV Breakthrough?
If this new battery technology is successful, it could mean that your Tesla’s battery will last for days — not hours. The same goes for renewable energy sources in your home or workplace.
Many people want to make the transition to greener energy, but they don’t want to take the risk of running out of juice. Form Energy is hoping to bring the world one step closer to clean, sustainable power.
Looking for more stories like this? Check out On the Money —SoFi’s one-stop-shop for news, trends, and tips!
Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision.
The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. These links are provided for informational purposes and should not be viewed as an endorsement. No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content.
Communication of SoFi Wealth LLC an SEC Registered Investment Advisor
SoFi isn’t recommending and is not affiliated with the brands or companies displayed. Brands displayed neither endorse or sponsor this article. Third party trademarks and service marks referenced are property of their respective owners.
SOSS22100703