SES AI Corporation to Acquire UZ Energy, Fast-Tracking Expansion in Global Energy Storage Market
SES AI Corporation, a global leader in developing and manufacturing high-performance lithium-metal and lithium-ion batteries enhanced by artificial intelligence, today announced that it has entered into a definitive agreement to acquire 100% ownership of UZ Energy. The transaction, valued at approximately $25.5 million and subject to potential earnout adjustments based on performance milestones, marks a strategic leap into the rapidly growing energy storage systems (ESS) sector. The acquisition is anticipated to close in the third quarter of 2025, pending customary regulatory and closing conditions.
Expanding Into the $300 Billion ESS Market
With this acquisition, SES AI is significantly broadening its strategic footprint in the global ESS market—a sector currently estimated at $300 billion and experiencing exponential growth, particularly driven by the explosive rise of artificial intelligence (AI) data centers. These data centers are increasingly in need of robust, scalable, and safe energy storage infrastructure capable of delivering reliable backup power and optimized energy efficiency.
Founded with a focus on engineering and manufacturing advanced ESS hardware, UZ Energy has distinguished itself as a trusted global supplier for commercial and industrial applications. To date, the company has deployed more than 500 megawatt-hours (MWh) of ESS products across 60 countries with a remarkable track record of zero safety incidents. This clean safety record underscores UZ Energy’s strength in design, reliability, and risk mitigation—critical features that align closely with SES AI’s mission to deliver next-generation battery solutions backed by real-world intelligence and AI analytics.
Strategic Integration with SES AI’s Molecular Universe Platform
One of the key value drivers behind the acquisition is the integration of UZ Energy’s real-world hardware and deployment expertise into SES AI’s proprietary Molecular Universe platform. This platform is at the core of SES AI’s innovation ecosystem, using AI to model, design, and optimize battery materials and battery health monitoring solutions.
By leveraging the operational data from UZ Energy’s deployed systems, SES AI plans to supercharge its AI models, refining predictions on battery behavior, lifecycle, performance, and safety. These insights will significantly accelerate the development of superior battery chemistries and predictive maintenance algorithms. The addition of UZ Energy also bolsters SES AI’s commercialization capabilities by giving it direct access to well-established sales and marketing channels in the global ESS space.
“AI data centers in the United States are projected to triple their electricity consumption by 2028. This macro trend is creating urgent demand for energy storage solutions that are not only high-performing but also cost-efficient, durable, and safe,” said Qichao Hu, Founder and CEO of SES AI. “The acquisition of UZ Energy positions SES AI at the intersection of two seismic industry shifts: the proliferation of AI-driven infrastructure and the transformation of global energy systems. This move not only accelerates our revenue growth trajectory but also provides a wealth of real-world deployment data that will feed and enhance our Molecular Universe platform.”
Enhancing Capabilities for Long-Term Value Creation
The acquisition will immediately expand SES AI’s capabilities beyond its current scope of next-generation battery materials and automotive battery systems. By entering the ESS hardware market, the company aims to serve a broader range of sectors including commercial, industrial, and grid-scale energy storage.
Notably, SES AI plans to deliver a vertically integrated offering that combines advanced cell chemistry, battery health monitoring software, and now, ESS hardware design and deployment. This end-to-end capability is expected to drive differentiated value for customers, particularly in sectors where uptime, safety, and cost-efficiency are paramount—such as hyperscale data centers, logistics, telecommunications, and smart grid infrastructure.
Moreover, as a U.S.-headquartered company, SES AI is strategically positioned to support domestic supply chain initiatives and energy security priorities, which have gained momentum amid growing demand for resilient energy infrastructure and AI innovation leadership.
Financial Structure and Performance Incentives
The total transaction value of approximately $25.5 million includes an earnout mechanism designed to align long-term value creation with performance. This earnout is contingent on UZ Energy achieving specific financial targets post-acquisition, ensuring that SES AI’s investment yields strong returns while maintaining operational accountability.
While immediate revenue contributions from UZ Energy will depend on final closing and integration milestones, SES AI expects the acquisition to be a powerful growth catalyst. The global ESS market—estimated to grow at a compound annual growth rate (CAGR) of more than 20%—offers SES AI an opportunity to rapidly scale recurring revenue streams and reach profitability faster than originally projected.
Synergy with Global Energy and AI Trends
This acquisition is also a timely response to macroeconomic and technological shifts. AI data centers, smart grids, and decentralized power networks are accelerating demand for flexible, scalable, and intelligent energy storage. The U.S. Energy Information Administration (EIA) forecasts that data centers alone could account for as much as 10% of total U.S. electricity demand by the early 2030s, further driving demand for robust energy storage backbones.
In parallel, the push for decarbonization, electrification, and energy resilience is forcing industrial and commercial stakeholders to adopt ESS solutions at scale. SES AI’s integration with UZ Energy enables it to offer modular and customizable storage solutions that meet the evolving energy demands of enterprise customers, municipalities, and utilities.
Regulatory Filings and Governance
As part of the acquisition process, SES AI has filed a Form 8-K with the U.S. Securities and Exchange Commission (SEC), providing additional transparency and legal disclosure around the transaction structure, valuation terms, and strategic rationale. The filing also outlines key closing conditions and timelines, reaffirming the company’s commitment to corporate governance and shareholder alignment.
