ARLINGTON, Va.--(BUSINESS WIRE)--The AES Corporation (NYSE:AES) today announced the merger of Simple Energy with Tendril to form Uplight, a new company that offers the most comprehensive suite of customer-facing solutions for electric and gas utilities. Building on AES’ 2018 investment in Simple Energy, the Company made a $53 million strategic investment in Uplight as part of the merger. AES will serve as an investor and innovation partner, bringing a deep understanding of the electricity sector, including renewables and energy storage, and a commitment to accelerating transformation together with our customers.
“Uplight enables utilities to better engage their customers toward the efficient use of energy,” said Andrés Gluski, AES President and CEO. “Together with Uplight, we are dedicated to applying leading energy technologies that give our customers a competitive edge.”
Uplight combines Tendril’s expertise in behavioral energy efficiency and demand side management programs with Simple Energy’s experience in consumer engagement marketplaces to create a comprehensive digital ecosystem designed specifically for utilities. With demand side management leadership, superior analytics and advanced personalization, Uplight provides an end-to-end energy action system that transcends utility silos and leverages energy interactions across every channel, program and solution. This approach enables utilities to provide unique customer experiences, improve satisfaction, increase revenue, reduce the cost to serve, and accomplish their carbon reduction goals.
AES’ involvement builds on collaborations that drive value for Uplight, AES, and their customers. As part of AES’ digital transformation, Indianapolis Power & Light (IPL) and Dayton Power & Light (DP&L) have seen the proven power of the Uplight platform through the implementation of its consumer engagement marketplaces in support of energy efficiency and demand response programs. AES and Uplight are now working together on community solar, e-mobility and advanced C&I offerings, with plans for future deployment of the Uplight platform in Latin America.
Today’s announced investment builds on AES’ prior investment in Simple Energy that used the Company’s strategic insights and platforms to springboard into the rapidly-growing digital energy business category. AES joins Tendril investor, Rubicon Technology Partners (RTP), who will own the majority stake in Uplight. AES’ investment in Uplight delivers on its strategy to develop new business models that accelerate green growth, while providing significant value to existing AES businesses and markets. AES’ total stake in Uplight, which includes the $53 million of new equity investment and the contribution of its existing ownership interest in Simple Energy, was valued at $114 million in the transaction.
“At Rubicon, we focus on investing in enterprise software companies with proven products and talented management teams to help grow and scale their businesses,” said Steve Carpenter, Partner, Rubicon Technology Partners. “We are excited to partner with AES in combining our deep software experience, best practices, and network with their energy expertise and insights. In addition, they share our collaborative approach to engagement with the businesses in which we invest. We look forward to a successful partnership in Uplight.”
The AES Corporation (NYSE: AES) is a Fortune 500 global power company. We provide affordable, sustainable energy to 14 countries through our diverse portfolio of distribution businesses as well as thermal and renewable generation facilities. Our workforce is committed to operational excellence and meeting the world’s changing power needs. Our 2018 revenues were $11 billion, and we own and manage $33 billion in total assets. To learn more, please visit www.aes.com. Follow AES on Twitter @TheAESCorp.
Rubicon Technology Partners invests in enterprise software companies with proven products and talented management teams to help grow and scale their businesses. Rubicon enables companies to adapt to the changing requirements of their businesses as they grow and scale using a proven set of proprietary processes, best practices and a portfolio-wide engagement model called RTP Change Management™. With offices in Palo Alto, CA and Stamford, CT, Rubicon has over $850 million in cumulative capital commitments. For more information, please visit www.rubicontp.com.
Born from the merger of Tendril and Simple Energy, and the acquisitions of FirstFuel, EEme and EnergySavvy, Uplight is the leading provider of end-to-end customer-centric technology solutions dedicated solely to serving the energy ecosystem. Uplight provides software and services to more than 75 of the world’s leading electric and gas utilities, with the mission of motivating and enabling energy users and providers to accelerate the clean energy ecosystem. Uplight is the leader in Demand Side Management, Energy Analytics, Utility Marketplaces, Utility Personalization, and Home Energy Management. Together, these solutions form a unified, end-to-end customer energy experience system that's proven at enterprise scale, yet nimble enough to deliver innovative solutions quickly. Utility leaders at all levels rely on Uplight and its customer-focused digital energy experiences to improve customer satisfaction, deliver energy and capacity outcomes, reduce service costs, increase revenue, and reduce carbon emissions.
AES Safe Harbor Disclosure
This news release contains forward-looking statements within the meaning of the Securities Act of 1933 and of the Securities Exchange Act of 1934. Such forward-looking statements include, but are not limited to, those related to future earnings, growth and financial and operating performance. Forward-looking statements are not intended to be a guarantee of future results, but instead constitute AES’ current expectations based on reasonable assumptions. Forecasted financial information is based on certain material assumptions. These assumptions include, but are not limited to, our accurate projections of future interest rates, commodity price and foreign currency pricing, continued normal levels of operating performance and electricity volume at our distribution companies and operational performance at our generation businesses consistent with historical levels, as well as the execution of PPAs, conversion of our backlog and growth investments at normalized investment levels and rates of return consistent with prior experience.
Actual results could differ materially from those projected in our forward-looking statements due to risks, uncertainties and other factors. Important factors that could affect actual results are discussed in AES’ filings with the Securities and Exchange Commission (the “SEC”), including, but not limited to, the risks discussed under Item 1A: “Risk Factors” and Item 7: Management’s Discussion & Analysis in AES’ 2018 Annual Report on Form 10-K and in subsequent reports filed with the SEC. Readers are encouraged to read AES’ filings to learn more about the risk factors associated with AES’ business. AES undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Any Stockholder who desires a copy of the Company’s 2018 Annual Report on Form 10-K filed February 27, 2019 with the SEC may obtain a copy (excluding Exhibits) without charge by addressing a request to the Office of the Corporate Secretary, The AES Corporation, 4300 Wilson Boulevard, Arlington, Virginia 22203. Exhibits also may be requested, but a charge equal to the reproduction cost thereof will be made. A copy of the Form 10-K may be obtained by visiting the Company’s website at www.aes.com.