Equity stake taken in UK Mobility x Energy startup Connected Energy

Sumitomo Corporation (Head Office: Chiyoda-ku, Tokyo; Representative Director, President and Chief Executive Officer: Masayuki Hyodo) and Sumitomo Corporation Europe Limited (Head Office: London, U.K.; President and CEO: Takashi Yamana) (below, collectively referred to as the “Sumitomo Corporation Group”) have acquired an equity stake in Connected Energy LTD (Head Office: UK; CEO: Matthew Lumsden; below, “CE”), an UK Mobility x Energy company. This is the investment into startup company using our R&D fund in Europe.

The introduction of renewable energy, which lacks stability of output, raises the problem of optimizing the load placed on transmission systems. Resilient electrical networks with diversified distributed energy resources will become increasingly important and a storage system which can store the electricity is expected to prevail.  Such storage system could be utilized for back-up purposes, cost reduction through managing demand during peak times and for new sources of profits through ancillary services (see Note 1).

 
CE is a startup company that manufactures the large-scale stationary storage system utilizing 2nd Life EV batteries. The product has already been introduced in 11 sites such as EV charging point and renewable energy generation in Europe. CE contributes the automobile industry and also solves the pain in the electric utility industry by expanding the possibilities of the secondary use of EV batteries. 

Sumitomo Corporation Group have focused on the broad value of EV and strives after the diversification of secondary use of EV batteries. By collaborating with CE, we expect to create the new business between mobility sector and energy sector. Going forward, we intend to continue identifying changes in the needs of society and contributing to the development of industry across the globe by investing in companies with innovative technology.

Note 1 : ancillary service : frequency control, balancing power demand and supply etc

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■Material issues for Sumitomo Corporation
 The Sumitomo Corporation Group has defined the “Six Material Issues to Achieve Sustainable Growth with Society” as an important factor in developing business strategies and in the decision-making process for individual businesses. Going forward, we will pursue sustainable growth by resolving these issues through our business activities. This business should prove especially beneficial in “Achieving Harmony with the Global Environment,” “Contributing to the Development of Local Communities and Industries,” “Establishing a Foundation for Comfortable and Enriching Lifestyles,” and “Providing Diverse ‘Accessibility.’”