Emerald announces sale of its portfolio company Spear Power Systems to Sensata Technologies

Emerald Technology Ventures, a global climate tech venture capital firm, today announced that its portfolio company, Spear Power Systems has entered into an agreement to be acquired by Sensata Technologies. Since its founding in 2013, Spear has become a global leader in developing differentiated energy storage solutions that push the safety and performance threshold for highly critical applications. Spear’s systems are designed to provide the highest levels of safety in demanding applications while at the same time maximizing the amount of energy or power per unit of weight or within a given volumetric envelope.  Sensata Technologies (NYSE: ST) is a leading industrial technology company and provider of sensor-rich solutions and insights for customers.

Emerald led the Series B investment round in Spear Power in 2019 and was joined by its limited partners ABB Technology Ventures, Chevron Technology Ventures and Nabtesco Technology Ventures, as well as Energy Innovation Capital and existing investor Evergy Ventures.

Gina Domanig, Managing Partner of Emerald Technology Ventures and Spear Board Director stated: “We continue to be impressed with Spear’s management team and its ability to create a strong market position based on valued product differentiation. This is an excellent outcome for all parties and we are convinced that Sensata will provide an outstanding platform from which Spear can excel even further.”

Spear’s co-founder and CEO, Jeff Kostos, expressed excitement about the deal: “Since our inception in 2013, Spear has had a goal of developing technically differentiated solutions in energy storage to address the growing demand in the niche e-mobility markets within which we operate. This deal will mean increased resources so that our incredible team can expand our development, commercial, and operational activities at a pace to meet the rapidly growing need for clean energy solutions. We are very excited to play a meaningful role in contributing towards Sensata’s electrification strategy.”

The acquisition of Spear Power Systems advances Sensata’s electrification portfolio and strategy into new clean energy markets. “We are pleased that the talented Spear Power Systems team, including over 40 highly experienced engineers, will be joining Sensata,” said Vineet Nargolwala, Executive Vice President, Sensing Solutions at Sensata Technologies. “Spear Power Systems enables us to deliver more comprehensive energy storage solutions to help enable the electrification and replacement of combustion applications in support of OEM customers in diverse end-markets. These capabilities will be strong additions to our product portfolio and will help drive our electrification growth vector and accelerate our clean energy strategy.”

Guggenheim Securities LLC acted as exclusive financial advisor and Wilson Sonsini Goodrich & Rosati, P.C. acted as legal counsel to Spear Power Systems on the transaction.

Timing and Required Approvals

Financial terms of the transaction were not disclosed.  The transaction is subject to clearance under the Hart-Scott-Rodino Act and other customary closing conditions. Sensata and Spear Power expect to complete the transaction during the fourth quarter of 2021.

About Emerald Technology Ventures

Emerald is a globally recognized venture capital firm building a sustainable future at the crossroads of industry and technology. Founded in 2000, it is a pioneer in open innovation, providing multi-national corporations with rich deal flow and insight in the sectors and markets of tomorrow. Emerald has managed and advised assets of over €1 billion from its offices in Zurich, Toronto and Singapore. The firm is dedicated to tackling big challenges in climate change and sustainability via over 500 venture transactions and five third-party investment mandates, including loan guarantees to over 100 start-ups. www.emerald.vc



About Spear Power Systems

Founded in 2013 by experienced energy storage entrepreneurs Jeff Kostos, President & CEO, and Dr. Joon Kim, CTO, Spear designs and manufactures safe, high performance energy storage systems (ESS) for clients with some of the world’s most demanding marine, industrial, and defense applications. Based in Kansas City, Missouri, Spear takes a chemistry agnostic approach towards integrating its in-house designed, scalable electronics, software, and mechanical systems with the most application-appropriate chemistry in order to maximize the value for its clients.

For more information, visit www.spearpowersystems.com.

About Sensata Technologies

Sensata Technologies is a leading industrial technology company that develops sensors, sensor-based solutions, including controllers and software, and other mission-critical products to create valuable business insights for customers and end users. For more than 100 years, Sensata has provided a wide range of customized, sensor-rich solutions that address complex engineering requirements to help customers solve difficult challenges in the automotive, heavy vehicle & off-road, industrial and aerospace industries. With more than 21,000 employees and operations in 12 countries, Sensata’s solutions help to make products safer, cleaner and more efficient, electrified, and connected.

For more information, visit www.sensata.com.