Leading global law firm Herbert Smith Freehills Kramer has advised AIP Management (AIP), an investor in decarbonisation and energy infrastructure, on its acquisition of a 49% equity stake in a UK-based 2.4GWh battery energy storage system (BESS) portfolio from BW ESS, a global developer, owner and operator of energy storage systems.
The transaction marks AIP's first dedicated investment in standalone battery storage in Europe and reflects its strategy of investing alongside industrial partners with complementary expertise.
The portfolio comprises three assets, including Bramley (331MWh), which is already operational, and Hams Hall (1,422MWh) and Berkswell (712MWh) which are under construction. Upon completion, the assets will be held in a newly formed AssetCo, with BW ESS retaining a 51% majority stake. BW ESS will manage construction and operations across the portfolio, drawing on its track record of more than 500MWh of operational BESS, 3.3GWh under construction, and a development pipeline spanning six markets.
The Herbert Smith Freehills Kramer team was led by Corporate Energy partner Sarah Pollock, supported by partners Laura Hulett, Stephen Rayfield and William Arrenberg, senior associates Valerie Lowe, Oli Grabowski, Sam Cundall and James Tryfonos, and associates Shannon Smyth, Sebastian Morton and Bozidar Bogosavljev.
Sarah Pollock commented: "The deployment of large-scale battery energy storage systems is increasingly central to stabilising the UK's electricity grid, managing market fluctuations, and ensuring reliable power delivery. We are proud to have advised AIP on its long-term partnership with BW ESS, a deal which underscores our capabilities in advising clients on the energy transition."
The acquisition is subject to customary regulatory approvals.