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Invinity Energy Systems Shares Rallied 31.3% on the $4.6 Million Siemens Electric Partnership

Updated: 11 May 2021

Shares of Invinity Energy Systems PLC (LON: IES) rallied 31.3% after clinching a deal with a subsidiary of Siemens Gamesa Renewable Energy SA to develop grid-scale vanadium flow batteries using their unique expertise to create powerful batteries.

The partnership with Gamesa Electric will see Invinity provide its flow battery design technology combined with Siemens power distribution systems to create vanadium flow batteries used to store energy in grid-scale power networks.

Invinity will benefit from Siemens power systems expertise, while Siemens will rely on Invinity’s expertise in designing and manufacturing large-scale vanadium flow batteries.

Siemens Gamesa will fund $4.62 million (£3.27 million) of Invinity’s operations executed as part of the deal payable in instalments as certain project milestones are achieved.

The two companies will then co-operate on the manufacturing and commercialisation of the batteries, which will be sold via each company’s sales systems.

Invinity also clarified that Gamesa Electric had entered into an option agreement to acquire 9.99% of Invinity's issued share capital at £1.75 per share in future. If Gamesa exercises the option, it will have the power to appoint a director to Invinity’s board.

Larry Zulch, Invinity’s CEO, said: “We are delighted to enter into this joint development and commercialisation agreement with Gamesa Electric,”

Adding:

“Delivering a next-generation VFB to meet the need for safe, dependable and economical energy storage requires deep expertise in both energy technology development and commercialisation, making Gamesa Electric an ideal partner for us in that effort.”

Invinity share price.

IG chart of Invinity Energy share price 11-05-2021

Invinity Energy shares rallied 31.27% to trade at 164.75p, rising from Monday’s closing price of 125.50p.

Should you invest in Invinity Energy shares?

Invinity Energy shares are traded on the London stock exchange's AIM market (the alternative investment market), which is the submarket specifically for smaller companies. AIM stocks are attractive to investors as they have tax advantages and smaller companies have the potential to benefit from rapid growth. But are Invinity Energy shares the best buy? Our stock market analysts regularly review the market and share their picks for high growth companies

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