Firefly Energy Closes Series B $10 Million Equity Financing

PEORIA, Ill.--(BUSINESS WIRE)--Firefly Energy Inc., (www.fireflyenergy.com) the Peoria-based spin out of Caterpillar Inc. now developing a carbon-graphite foam lead acid battery for commercial and military uses, today announced it has completed a $10 million Series B equity round of financing.

Participating in this equity round is new investor Stark Investments, LP, as well as existing investors Caterpillar, KB Partners, the Illinois Finance Authority and the Tri-County Venture Capital Fund.

Firefly Energy will use its new capital to accelerate product development, expand existing lab facilities, implement manufacturing partnerships, advance product awareness in new markets, and continue the support of commercial and military customers.

“The level of interest from our current and new investors reinforces the momentum we’re seeing in the marketplace for next generation battery performance that utilizes safe, cost-effective, lead-acid battery chemistry,” said Edward F. Williams, Chief Executive Officer of Firefly Energy. Regarding the newest financing, Williams said “The additional capital provides the financial depth and support Firefly Energy will need as our accelerated growth continues in these markets hungry for innovative energy storage solutions.”

About Firefly Energy, Inc.

Firefly Energy (www.fireflyenergy.com) is a Peoria, Illinois-based company which has developed a next generation lead acid battery technology that has the opportunity to address major portions of the $30 billion worldwide battery marketplace. Firefly’s carbon-graphite foam-based battery technology can deliver a unique combination of high performance, extremely low weight and low cost, all in a battery which utilizes the best aspects of lead acid chemistry while overcoming the corrosive drawbacks of this same chemistry. This product technology delivers to battery markets a performance associated with advanced battery chemistries (Nickel Metal Hydride and Lithium), but for one-fifth the cost, and can be both manufactured as well as recycled within the existing lead acid battery industry’s vast infrastructure. The company was formed after its technology, technical founder, and initial seed funds were spun out of Caterpillar, Inc. (www.cat.com), a Fortune 90 company, in May 2003, and is headed by co-founders Edward Williams (CEO), Mil Ovan (Senior VP), and Kurtis Kelley (Chief Technology Officer). Investors include Caterpillar (www.cat.com) (NYSE: CAT), BAE Systems (www.baesystems.com) (London Stock Exchange over the counter symbol: BAESY), Chicago-area Venture Capital firm KB Partners (www.kbpartners.com), the State of Illinois’ Illinois Finance Authority, and Husqvarna (www.husqvarna.com). (Other OTC: HSQVY.PK). In 2006, Firefly was named winner of both the Frost & Sullivan Technology Innovation Award and Frost’s Energy Storage Entrepreneurial Storage Company of the Year Award.