Fluence launches IPO that could raise $868M

Fluence Energy Inc., an Arlington-based energy storage and digital application company owned by Siemens and AES Corp., launched its initial public offering (IPO) of 31 million shares of Class A common stock Thursday at $28 per share.

The company is trading on the Nasdaq Global Select Market under the ticker symbol “FLNC.” As of 3:55 p.m. Thursday, the shares were trading for $35.43. The IPO, which could raise $868 million, is expected to close on Nov. 1.

Fluence has offered underwriters 30 days to purchase 4.65 million additional shares at the public price minus underwriting discounts and commissions.

The company, already valued at more than $1 billion, could raise its valuation to $4.7 billion. Fluence said it expects revenue of up to $699 million for the fiscal year that ended Sept. 30, a jump from the $561 million earned in the previous fiscal year.

All outstanding shares of Class B-1 common stock will be held by AES Grid Stability, Siemens Industry and respective subsidiaries, which will represent more than 90% of the voting power of common stock, according to the Securities and Exchange Commission S-1 form that Fluence filed Oct. 19.

Fluence, which was founded in 2018 as a joint venture of Arlington-based Fortune 500 energy company AES and industrial manufacturer Siemens, announced late last year that the Qatar Investment Authority will invest $125 million in the company, with AES and Siemens retaining approximately 44% shares each of the company.

Fluence has more than 3.4 gigawatts of energy storage in 29 markets globally, and more than 4.5 gigawatts of wind, solar and storage assets in Australia and California.