24 August

Octopus Energy Investment

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Renewable Energy Developer Exagen secures up to £35m from new Octopus Energy fund

The investment will support Exagen’s team to rapidly scale-up to develop, own and operate 5GW+ of generation and energy storage capacity over the next 10 years, a pivotal decade for energy transition.

● The initial investment will inject new capital into Exagen, a renewable technology (“rentech”) company and is to acquire projects from its development pipeline.

● The funding will be used to further strengthen Exagen’s proprietary technology platform and development team and fund new community-focused development opportunities, including three solar and battery storage projects across the Midlands and North East.

● With the assistance of Octopus, Exagen’s experienced mission-driven team aim to develop and construct over 500MW of generation and energy storage projects annually, supporting the UK and global energy transition, strengthening grid resilience and delivering renewable capacity to hit our decarbonisation goals.

● Exagen has secured land and a grid connection for a 500MW/1GWh standalone mega-battery in the Midlands. The battery will have the capacity to export the equivalent electricity usage of 235,000 homes in a single day and create long-term jobs in the region.

LONDON, 24th August 2022 — Exagen, the renewable technology (“rentech”) company building the next generation of utility scale solar and battery storage facilities, has today announced a multi-million pound investment from the Octopus Energy Development Partnership (OEDP), a new fund managed by Octopus Energy Generation, one of Europe’s largest investors in renewable energy.

Octopus’s initial transaction has been structured as a hybrid investment and project acquisition. This will fund a corporate expansion and the acquisition of three co-located solar and battery storage projects with an aggregate capacity of ca. 400MW across the Midlands and the North East, where Exagen is opening a second office.

The transaction cements Exagen’s plans to rapidly scale and build its current development pipeline of over 2GW of utility scale generation and storage projects throughout the UK. Exagen plans to develop and operate 5GW of such projects over the next decade and expand internationally.

Jeremy Littman, founder and CEO of Exagen, said: “All of us at Exagen are thrilled by this ground-breaking deal with Octopus, which will support us in our mission to build smarter, flexible renewable generation projects across the grid, enabling communities access to cleaner, cheaper energy. We couldn’t have achieved this important milestone without the conviction of our team, each member a shareholder. Together, we bring decades of experience across renewable energy, power, banking, private equity, development, programme management and engineering. I believe our commitment to our staff, our technology-focused approach to operations, and above all our passion for local communities and the environment has aligned us with the Octopus team and we’re all looking forward to delivering on our promise together.”

In line with Exagen’s large-scale storage strategy, its development team has secured land and grid connection for a 500MW/1GWh standalone mega-battery in the Midlands. Expected to be operational in 2027, this site will be one of the largest battery storage sites in the UK with the capacity to provide the energy equivalent to 235,000 UK homes’ daily electricity usage and will create long-term jobs and economic opportunities in the region.

Exagen’s commitment to local areas and communities creates projects that provide enduring benefit through both amenity and opportunity. Its integrated approach includes large-scale standalone and co-located battery storage and renewable generation projects using its in-house proprietary rentech software platform, applying a data-led approach to every stage of a project’s lifecycle.

As part of this commitment, Exagen builds meaningful relationships with farmers and landowners to create biodiversity-boosting sites that tackle the threat of fuel poverty, energy security and the climate emergency.

Mark Rowcroft, the Development Director at Exagen, said: “It does not have to be a choice between renewable energy, agriculture or biodiversity. With the right projects in the right places and considered land management, we can have it all.

“Solar farms can help diversify and stabilise farmers’ incomes and our approach of working closely with farmers means that we boost biodiversity beyond ‘just adding wildflowers’. We strive to create a symbiotic link between natural habitat and the built environment, leaving the land with increased biodiversity, improved soils, and enhanced amenity at the end of the project’s life.

“Exagen is also developing solutions to combine production of food and energy increasing local sustainability through community food systems and using waste heat to boost yields so that the issues of energy security and food security are not competing and can be solved together.”

Octopus shares the desire to support Exagen’s growth strategy through close collaboration and strategic alignment, intending to introduce opportunities and prospective partners to the company.

Alex Brierley, Co-Head of Octopus Energy Generation’s fund management team, adds: “Making the first investment from this new renewable development fund is a major milestone for us and we’ve got some more coming up. Working with Exagen, there’s a massive opportunity to scale solar and battery storage projects – and these will play an absolutely integral role in the flexible renewable energy system of the future.”

Exagen is led by renewable energy and bio-technology entrepreneur and investor Jeremy Littman, founder of Osprey Charging, the first electric vehicle rapid charging network operation in the UK. The management board comprises experts in the renewable energy, power, banking and private equity sectors, while its delivery team brings decades of development, programme management and engineering experience. Together, these mission-led innovators have created an inclusive, flat-hierarchy culture that rewards its team members – everyone at Exagen is a shareholder. The company is expanding rapidly, opening a second office in the North to complement its London HQ, and will be hiring at scale to support development.

Through its partnerships with landowners and farmers and social engagement with local communities, Exagen actively supports projects that matter to the people who live there. With full data visibility from origination to operation, each of its energy projects is consistently and proactively managed.

For more information, or to request an interview, please contact Greenhouse Communications:

exagen@greenhouse.agency