AES' Energy Storage Joint Venture, Fluence Energy, Achieves Historic Milestone with Initial Public Offering

ARLINGTON, Va., Oct. 28, 2021 /PRNewswire/ -- On October 27, 2021, Fluence Energy, Inc. ("Fluence") announced the pricing of its initial public offering of Class A common stock, which valued Fluence at approximately $4.7 billion. Fluence, an AES joint venture with Siemens, originated from AES' work to conceive and test the world's first lithium-ion energy storage system connected to an electric grid in 2007. The Fluence shares are expected to begin trading on the Nasdaq Global Select Market on October 28, 2021, under the ticker symbol "FLNC." The initial public offering is expected to close on November 1, 2021, subject to customary closing conditions.

 "Almost 15 years ago, AES started working on developing lithium-ion battery systems to improve the efficiency and flexibility of the grid and enable the broader expansion of renewables," said Andrés Gluski, AES President and CEO. "In 2018, we joined together with Siemens to create Fluence to drive global adoption of energy storage systems. Today's transaction will further accelerate the growth of Fluence and its leadership in bringing new energy storage and AI-enabled bidding systems to the global market."  

Fluence is a leading pure-play provider of energy storage technology globally, which helps customers achieve a higher standard of clean energy while meeting their sustainability commitments. Energy storage supports the global green energy transition by enabling the broader adoption of renewables and eliminating the need for new thermal power plants or transmission lines under certain conditions. Energy storage is a uniquely flexible asset that can provide multiple critical grid services, including energy shifting, peaking capacity, ancillary services, and transmission and distribution infrastructure functions.

Fluence is part of our scalable ecosystems that provide clean energy solutions to AES and our peers in the industry. Our other ecosystems include: Uplight, the leading provider of cloud-based customer energy solutions in the United States to reduce energy demand and improve the grid; 5B, an innovative solar technology business that is reinventing solar, making it faster, safer and cheaper to deploy panels for utility-scale projects; and Motor, a unique electric vehicle subscription service that simplifies and in turn accelerates customer adoption of electric vehicles through utilities.

Upon completion of Fluence's offering, AES will have an indirect economic interest in Fluence of approximately 35% (or approximately 34% if the underwriters exercise their option to purchase additional Class A shares). Fluence will be a "controlled company" within the meaning of the Nasdaq rules, and AES will have approximately 46% of the voting power in Fluence. AES will hold its economic interest through Fluence Energy, LLC.

About AES
The AES Corporation (NYSE: AES) is a Fortune 500 global energy company accelerating the future of energy. Together with our many stakeholders, we're improving lives by delivering the greener, smarter energy solutions the world needs. Our diverse workforce is committed to continuous innovation and operational excellence, while partnering with our customers on their strategic energy transitions and continuing to meet their energy needs today. For more information, visit www.aes.com.

About Fluence
Fluence, an AES and Siemens company, is a global market leader in energy storage products and services and digital applications for renewables and storage. Fluence has more than 3.7 GW of energy storage deployed or contracted in 29 markets globally and more than 4.5 GW of wind, solar and storage assets optimized or contracted in Australia and California. Through Fluence's products, services and AI-enabled IQ platform, Fluence is helping customers around the world drive more resilient electric grids and a more sustainable future.

Copies of the prospectus relating to Fluence's offering may be obtained from: J.P. Morgan Securities LLC, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717, by telephone at 866-803-9204 or by email at [email protected]; Morgan Stanley & Co. LLC, Attention: Prospectus Department, 180 Varick Street, 2nd Floor, New York, NY 10014; Barclays Capital Inc., c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, New York 11717 or by email at [email protected] or by telephone at (888) 603-5847; and BofA Securities, NC1-004-03-43, 200 North College Street, 3rd floor, Charlotte NC 28255-0001, Attn: Prospectus Department or by email at [email protected].

This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of Fluence's securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

Safe Harbor Disclosure
This news release contains forward-looking statements within the meaning of the Securities Act of 1933 and of the Securities Exchange Act of 1934. Such forward-looking statements include, but are not limited to, those related to future earnings, growth and financial and operating performance. Forward-looking statements are not intended to be a guarantee of future results, but instead constitute AES' current expectations based on reasonable assumptions. Forecasted financial information is based on certain material assumptions. These assumptions include, but are not limited to, our expectations regarding the COVID-19 pandemic, accurate projections of future interest rates, commodity price and foreign currency pricing, continued normal levels of operating performance and electricity volume at our distribution companies and operational performance at our generation businesses consistent with historical levels, as well as the execution of PPAs, conversion of our backlog and growth investments at normalized investment levels and rates of return consistent with prior experience.

Actual results could differ materially from those projected in our forward-looking statements due to risks, uncertainties and other factors. Important factors that could affect actual results are discussed in AES' filings with the Securities and Exchange Commission (the "SEC"), including, but not limited to, the risks discussed under Item 1A: "Risk Factors" and Item 7: "Management's Discussion & Analysis" in AES' 2020 Annual Report on Form 10-K and in subsequent reports filed with the SEC. Readers are encouraged to read AES' filings to learn more about the risk factors associated with AES' business. AES undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Any AES Stockholder who desires a copy of the Company's 2020 Annual Report on Form 10-K filed February 25, 2021 with the SEC may obtain a copy (excluding Exhibits) without charge by addressing a request to the Office of the Corporate Secretary, The AES Corporation, 4300 Wilson Boulevard, Arlington, Virginia 22203. Exhibits also may be requested, but a charge equal to the reproduction cost thereof will be made. A copy of the Form 10-K may be obtained by visiting the Company's website at www.aes.com.

Website Disclosure
AES uses its website, including its quarterly updates, as channels of distribution of Company information.  The information AES posts through these channels may be deemed material. Accordingly, investors should monitor our website, in addition to following AES' press releases, quarterly SEC filings and public conference calls and webcasts.  In addition, you may automatically receive e-mail alerts and other information about AES when you enroll your e-mail address by visiting the "Subscribe to Alerts" page of AES' Investors website.  The contents of AES' website, including its quarterly updates, are not, however, incorporated by reference into this release.

SOURCE The AES Corporation

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