Please find the full press release of TS Conductor below.
TS Conductor raises $60 million from industry-leading investors to expand US production of high-capacity power lines
In an oversubscribed growth round led by Wellington Management, and joined by climate tech and power sector leaders like Breakthrough Energy Ventures, National Grid Partners, Quanta Services, and a subsidiary of NextEra Energy Resources, TS prepares to meet soaring new demand for its technology.
Huntington Beach, Calif. — 31 July 2024 — TS Conductor (TS), a US-based manufacturer of advanced electric power lines, today announced the close of a $60 million growth investment round led by Wellington Management. The funds will be used to open a second US production facility, which is part of the company’s plan to greatly increase production of its high-performance conductors in response to strong customer demand.
The oversubscribed investment round also included Quanta Services, Gates Frontier, Energy & Environment Investment, Inc., Blue Earth Capital, and Edison International, and repeat investors National Grid Partners, Breakthrough Energy Ventures, and a subsidiary of NextEra Energy Resources.
“The electric grid is the backbone of our clean energy future, and it urgently needs a 21st-century upgrade,” said Jason Huang, PhD, CEO of TS Conductor. “We’re deeply grateful for the support of industry-leading investors who recognize the potential of our advanced conductor technology. With this funding round, we’re scaling up production to put our proven solution into the hands of utilities faster.”
“Decarbonizing the energy sector hinges on resolving electric grid bottlenecks, and we believe TS Conductor’s technology unlocks cost-effective and fast capacity additions,” said Michael DeLucia, sector lead for climate investing at Wellington Management. “We are looking forward to supporting the company’s journey toward scaling advanced conductor deployment to address these critical issues.”
To meet rapidly-growing demand for its advanced conductors, TS Conductor is expanding its production capacity. The company’s existing ISO-certified facility in Southern California is operating at near-full capacity, and plans are under consideration to increase this facility’s output in the near term. The bulk of this funding round, however, will support an ambitious expansion east of the Mississippi River.
TS Conductor’s high-performance conductors are suitable for both new build and reconductoring projects. Compared to traditional ACSR power conductors, which were invented more than a century ago, the TS conductor can triple capacity during peak electricity generation and demand, allowing for more renewable energy projects to be integrated and for grid operators to expand capacity quickly and affordably simply by reconductoring. Its technology can also provide up to a 50% decrease in line losses during normal operation.
The TS product also solves for the biggest challenges presented by the last generation of advanced conductors; for instance, its highly durable conductors can be installed with the same tools and techniques line crews have used for decades with ACSR conductors, with no additional training required. Thanks to the conductor’s low-sag properties, CapEx costs can be dramatically reduced for new build projects, which can be designed with fewer and shorter towers.
The Federal Energy Regulatory Commission (FERC), which oversees interstate electricity transmission, recently released Order No. 1920, which has led to even greater interest in advanced conductors. The order requires transmission providers to consider grid-enhancing technologies, including advanced conductors, in their long-term planning.
Several investors who supported the round shared their thoughts on the importance of scaling advanced conductor technology at the current turning point in the global energy transition:
“Transmission is a critical pillar for enabling the promise of renewable energy and for meeting the significant projected growth for electricity in the US,” said Carmichael Roberts, Breakthrough Energy Ventures. “TS Conductor’s high-performance conductors solve the challenges and limitations inherent in traditional ACSR solutions and enable faster deployment and increasing penetration where it’s needed most. The company’s continued growth and accelerated market demand are a testament to these powerful innovations and the team behind them.”
“Upgrading the world’s power grids is an urgent and growing need driven by the rise of AI data centers and the push towards electrification,” said Pradeep Tagare, head of investments at National Grid Partners. “TS Conductor’s solution offers an expedited path to greater capacity while improving reliability and safety. We’ve supported the growth of TS for years and believe the technology is the right solution at the right time.”
“When it comes to building out the infrastructure needed to keep pace with the energy transition, it’s important to think about how skilled, craft labor will execute these projects in the field. Lineworkers can install these conductors safely and effectively with the same work methods as traditional conductors — no new training or tools needed. And that can make a huge difference for getting better technologies deployed at scale,” said Andrew Schwaitzberg, senior vice president at Quanta Services.
“We’re pleased to be supporting the scale-up and roll-out of this technology, which can significantly improve the functioning and resilience of the electricity grid. This innovation is an example of how to support positive environmental impact through system improvements,” said Kayode Akinola, head of private equity at Blue Earth Capital.
Utilities across North America have already deployed TS technology, including Montana-Dakota Utilities Company (MDU), Arizona Public Service (APS), and Tennessee Valley Authority (TVA). TS was recently named a winner of the 2024 BloombergNEF (BNEF) Pioneers Award for its work in relieving bottlenecks in the deployment of clean power.
To learn more about TS Conductor solutions, visit www.tsconductor.com or contact the team at www.tsconductor.com/contact.
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About TS Conductor
TS Conductor is accelerating the clean energy transition with its high-performance conductors created to meet the needs of modern power grids. Its Aluminum Encapsulated Carbon Core (AECC) technology offers triple the capacity of traditional power lines and can cut line losses in half, all while solving for the installation and cost challenges of prior generation advanced conductors. Suitable for both reconductoring and new build projects, the TS Conductor can be deployed quickly and cost-effectively to expand grid capacity and enhance reliability, with the option to leverage existing infrastructure. Founded in 2018, TS Conductor is a Minority Business Enterprise (MBE), and a public benefit company dedicated to made-in-America manufacturing. It is backed by Breakthrough Energy Ventures, National Grid Partners, a subsidiary of NextEra Resources, and other industry-leading investors and has been deployed by some of the largest utilities in the US. For more information, visit www.tsconductor.com.
About Private Investing at Wellington Management
Wellington’s Private Investing Team invests across multiple sectors and stages of the private markets and leverages the firm’s more than 900 investment professionals globally. From venture capital to private credit, the team actively invests across the business lifecycle in the next generation of industry-defining entrepreneurs and changemakers. To date, they have raised US$8.5+ billion in global assets to invest across geographies (Asia, Europe, and the Americas) and sectors (consumer, technology, health care, financial services, biotech, energy, industrials, climate tech, and real estate). The team takes a long-term view and combines its deep private market expertise with Wellington’s broader public market experience, extensive network, and robust research across its global footprint to benefit both investors and entrepreneurs. For more than 20 years, Wellington Management has been investing in private markets and launched its first dedicated private capital fund in 2014. Wellington is one of the world’s largest independent investment management firms, serving as a trusted adviser to over 2,500 clients in more than 60 countries. The firm manages US$1.2+ trillion for pensions, endowments and foundations, insurers, family offices, fund sponsors, global wealth managers, and other clients. For more information about private investing at Wellington, please visit www.wellington.com/privateinvesting.
About Blue Earth Capital
Blue Earth Capital is a global, independent, specialist impact investor, headquartered in Switzerland, with operations in New York, London, and Konstanz. Blue Earth Capital seeks to address the world’s most pressing social and environmental challenges by delivering measurable impact alongside aiming for attractive and market-rate financial returns. The company operates dedicated private equity, private credit, and fund solutions. Blue Earth Capital is owned by the Blue Earth Foundation, a Stiftung (charity/trust) registered in Switzerland that focuses on deep impact to support initiatives and business ventures to help deliver a more equitable and sustainable future.
Media Contact
TS Conductor
Nikki Arnone
Inflection Point Agency for TS Conductor
nikki@inflectionpointagency.com
Blue Earth Capital
blueearthcapital@kekstcnc.com
