The transaction is currently expected to close in the third quarter of 2025, subject to customary closing conditions. Zeo is planning to utilise Heliogen’s solutions, brand, intellectual property, capital and technical talent to establish a division focusing on long-duration energy generation and storage for commercial and industrial-scale facilities, including AI and cloud computing data centres.
This will also entail the creation of a robust clean energy platform spanning residential, commercial, and utility-scale markets, supported by internal financing capabilities and domain expertise.
“Heliogen brings a set of practical solutions to customers, particularly data centres, looking for longer duration energy storage with substantially lower costs than alternatives on the market” said Tim Bridgewater, CEO of Zeo Energy. “Through this acquisition, we believe that Zeo will be able to accelerate our vision of serving energy consumers across the spectrum - from residential rooftops to larger-scale industrial solar and storage applications to build an energy platform at scale.”
The transaction unites Zeo's existing residential solar and storage footprint with Heliogen's long-duration energy storage expertise. Heliogen's commercial and utility-scale thermal storage solutions address mission-critical power quality and energy capacity issues faced by AI and cloud computing data centres, while concurrently aiding grid stability.
“We believe this combination offers a compelling opportunity for Heliogen stockholders through the opportunity to participate in the substantial growth potential of the combined company” added Christiana Obiaya, CEO of Heliogen. “We believe that Zeo's proven track record and network of customers can enhance the value creation opportunities for Heliogen's solutions and technical capabilities, while enhancing liquidity for stockholders. We're proud to be joining forces to scale practical, dispatchable clean energy solutions. This transaction is the result of the Heliogen Board's comprehensive review of strategic alternatives. Our Board is unanimous in its belief that this transaction is the optimal path forward and in the best interest of our stockholders.”
The transaction is also expected to streamline costs and reduce corporate overhead, while retaining core technical and commercial talent and strengthening Zeo’s balance sheet. Zeo's affiliated financing arm, which has provided over $44 million in clean energy tax equity financing to date, could be used for future Heliogen utility-scale and long-duration energy storage projects.
The transaction seeks to position Zeo to capitalise on increasing demand for resilient, cost-effective, low-carbon energy infrastructure, supported by favorable long-term tailwinds and potential tax equity investments.
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