On January 10, 2022, Hydrostor Inc., a leader in long-duration energy storage solutions, has received a $315 million (US$250 million) preferred equity financing commitment from Goldman Sachs Asset Management. The investment will support the expansion of Hydrostor's 1.1GW, 8.7GWh Advanced Compressed Air Energy Storage (A-CAES) projects in Australia and California, and further the development of its global project pipeline.

Funding from Goldman Sachs will be distributed in tranches aligned with project milestones, effectively matching Hydrostor's capital needs and expediting the progression from development to operations. This structured financing approach is set to bolster Hydrostor's international growth and marketing efforts, particularly in regions with immediate demand for long-duration energy storage systems.

Curtis VanWalleghem, CEO and Co-Founder of Hydrostor, celebrated the investment as a significant endorsement of Hydrostor’s technology and its competitive project pipeline. Charlie Gailliot, Goldman Sachs partner, emphasized the critical role of Hydrostor’s A-CAES technology in the ongoing global transition to sustainable energy, projecting it as a pivotal player in the emerging market.

The deal reaffirms the continued partnership with existing investors including ArcTern Ventures, Lorem Partners, Canoe Financial, and the Business Development Bank of Canada, and introduces new board members from Goldman Sachs.

Financial advisory for the transaction was provided by Fort Capital Partners and CIBC Capital Markets, with Davies Ward Phillips & Vineberg LLP serving as Hydrostor’s legal counsel and Osler representing Goldman Sachs.