Manulife Investment Management led the round with a $135 million commitment and concurrently acquired an equity interest. This new equity funding is expected to allow NineDot to advance its substantial project pipeline in the New York City area and to expand geographically as well as potentially through acquisitions.
When combined with existing project financings from CIT, SMBC, and NY Green Bank, a division of the New York State Energy Research and Development Authority, among others, NineDot has now secured a capital base of approximately $400 million.“We are honored and excited to have Manulife Investment Management as a NineDot equity investor and partner”
“We are honored and excited to have Manulife Investment Management as a NineDot equity investor and partner,” said David Arfin, NineDot Energy CEO and co-founder. “From our first meeting it was clear that Manulife IM understood the importance of battery storage in modernizing the urban electric grid, making it cleaner, more resilient, more equitable, and less costly. Having Manulife Investment Management and Carlyle – two of the world’s leading infrastructure investors – in our corner will truly energize NineDot’s future.”
NineDot’s New York City battery storage projects support New York Governor Hochul’s roadmap for 6,000 MWs of energy storage capacity in New York State by 2030, on the path to 100% zero-emission electricity for the state by 2040.
Battery storage is a critical part of New York’s sustainable energy infrastructure, enabling more renewable energy on the grid, accelerating the retirement of the dirtiest “peaker” plants, and making the grid more stable and resilient.
Recep Kendircioglu, Global Head of Infrastructure, Manulife Investment Management, said, “We have been believers in community-scale battery storage for a long time and are pleased to form a long-term equity partnership with NineDot Energy.”
NineDot is on track to achieve its goal of having 400 MWs of battery storage capacity in development by the end of 2026, while adhering to the most stringent safety requirements for any jurisdiction in the United States as specified by the New York City Fire Department (FDNY).
NineDot’s initial battery storage site, located in the Pelham Gardens neighborhood of the Northeast Bronx, became operational last summer – a first-of-its-kind community-scale battery storage system in NYC, designed to provide power and resilience to the local grid at times of peak demand. In addition, NineDot has approximately 30 projects under construction across the New York metro area, with many more in development.
“When we first backed NineDot in 2021, we recognized they had a unique strategy to support New York’s energy transition. Over the past two years we’ve worked closely with them as they’ve experienced tremendous success building out their platform and project pipeline. We look forward to partnering with Manulife Investment Management, providing further support to the NineDot team as they pursue their ambitious goals,” said Pooja Goyal, Chief Investment Officer of Carlyle’s Infrastructure Group.
