Ellevio doubles its ownership in the rapidly growing energy technology company Flower

Energy company Ellevio Energy Solutions AB is doubling its ownership in the young energy technology company Flower Technologies, specializing in flexibility and support services in the electrical system. The market for new energy services is growing explosively, and Flower is one of the companies that has experienced strong growth during the year.

- Tomorrow's energy system will be much more complex and dynamic, and there is a high demand for new technology and energy services. This is the background for both our increased ownership in Flower and our investment in the new business area Ellevio Energy Solutions, says Kristofer Fröjd, Head of Business Development at Ellevio.

As the share of electricity from weather-dependent energy sources such as wind and solar increases, the ability of the electricity system to handle large variations in electricity production must be strengthened, while demand for electricity increases as transportation and industries shift to electric power. However, capacity shortages and significant modernization and digitization needs pose challenges. In this scenario, energy storage, flexibility, and support services become increasingly important to balance the Swedish electricity system.

Flower's activities have so far focused on offering such services, including batteries and by aggregating many scattered energy resources - from individual electric cars to large-scale batteries - to provide additional electricity when needed. With the new capital from Ellevio Energy Solutions, the company can further invest in deepening and expanding its offerings in flexibility and optimization solutions.

Ellevio Energy Solutions acquired 10 percent of the shares in Flower in May 2022 and has now increased its ownership to almost 20 percent.

- By increasing our commitment to Flower, they get even better opportunities to grow, while we sharpen our own focus on flexibility and energy storage solutions together with customers and strategic partners. We are in an incredibly exciting stage and are working systematically to grow our business, says Kristofer Fröjd.

Dramatic market development

In the coming years, electricity demand in Sweden and Europe is expected to increase dramatically. Sweden alone is expected to need more than twice as much electricity by 2045 compared to today - today's 140 TWh is expected to increase to between 330 and 370 TWh, according to several consistent forecasts.

The market for flexibility and support services is facing explosive development. According to the EU Commission and the European Association for Storage for Energy (Ease), the European energy market will need up to 108 GW of battery or storage services by 2050, with a total investment need of SEK 1,000-3,000 billion.

The Ellevio Group, through the business area Ellevio Energy Solutions AB, is currently running several projects in energy storage and flexibility solutions. EES has so far allocated around half a billion in battery projects, and shortly, the first energy storage in Grums, Värmland, will be inaugurated. Similar facilities totaling 80 MW are planned in various locations in southern and central Sweden.

Contact for media

Jesper Liveröd, Press Officer Ellevio 070 929 96 23

jesper.liverod@ellevio.se

About Ellevio

With close to a million customers, Ellevio is one of Sweden's largest energy companies. Together with our customers, we play an active role in the journey towards an increasingly electrified society. Our electricity grids are the backbone that connects producers and consumers of electricity, enabling more renewable electricity production and electrification of transport and industry. Through the business area Ellevio Energy Solutions, the group also offers services in energy storage, flexibility, and charging infrastructure. We have about 700 employees and employ a total of 3,000 people around the country. The head office is located in Stockholm, and we are owned by OMERS Infrastructure, Tredje AP-fonden, Folksam, and AMF."