Completed Rights Offering, Together With Hudson Bay Capital Management and Cerberus Capital Management Investments, Delivers Equity Raised Above the $250 Million Target

Eos Energy Enterprises, Inc. has successfully completed a rights offering and secured additional investments from Hudson Bay Capital Management and Cerberus Capital Management, raising approximately $263 million to capitalize on its joint venture, Frontier Power USA (FPUSA). The announcement was made on July 23, 2026, and the funding is expected to significantly enhance FPUSA's capacity to develop long-duration energy storage projects using Eos's innovative technology.

The capital raised includes approximately $37.7 million from Eos's rights offering, which expired on July 21, 2026. In addition, Cerberus Capital Management committed $100 million, while Hudson Bay Capital Management contributed $50 million. The total gross proceeds raised exceeded the initial target of $250 million, signaling strong institutional interest in the venture. This funding structure not only aligns institutional capital with existing stockholders but also establishes a robust equity foundation necessary for FPUSA's launch and growth.

FPUSA aims to address the growing demand for energy storage solutions, particularly as the energy sector shifts towards renewable sources. The joint venture is positioned to leverage Eos's zinc-based long-duration energy storage (LDES) systems, which are designed to provide safe, non-flammable, and scalable alternatives to conventional energy storage technologies. With approximately 16 GWh of pipeline opportunities, including 1.8 GWh under construction or nearing notice to proceed, FPUSA is set to play a crucial role in the transition to sustainable energy infrastructure.

The funding will enable FPUSA to support over $1 billion in deployable project capital, which is critical for financing the development and construction of energy storage assets. Historically, project financing has favored established technologies with proven track records, but FPUSA's innovative approach is expected to overcome these barriers. By providing the necessary capital and ownership structure, FPUSA will facilitate the transition of Eos technology from late-stage development to operational scale.

As the energy sector continues to evolve, the successful fundraising by Eos Energy Enterprises and its partners reflects a broader trend towards increased investment in sustainable energy solutions. The growing emphasis on energy independence and the need for reliable energy storage options are likely to drive further interest in similar ventures. With FPUSA's initial capitalization expected to close in early August, the joint venture is well-positioned to capitalize on the expanding market for long-duration energy storage, ultimately contributing to a more resilient and sustainable energy future.