Eos Energy Enterprises, a zinc-based long-duration energy storage solutions provider, has announced a $75 million equity investment from Hudson Bay Capital Management to support its investment in Frontier Power USA (FPUSA), a vertically integrated long-duration energy storage developer and independent power producer.

Hudson Bay also committed to invest $50 million directly into FPUSA, subject to certain conditions, Eos said. The commitment brings FPUSA’s expected equity investment to about $375 million, assuming full subscription in the Company’s proposed rights offering.

FPUSA was established to combine project development, manufacturing capacity, financing, and execution for U.S.-manufactured long-duration energy storage projects. Eos said it is raising capital to build FPUSA’s equity base and support project deployment under the planned financing model.

Under FPUSA’s model, the equity base is expected to support over $1.5 billion of deployable project capital at about 75% loan-to-value, according to Eos.

“FPUSA was built to solve one problem: financing long-duration storage fast enough to match demand,” said Joe Mastrangelo, Eos Chief Executive Officer. “Most projects stall between contract and construction because financing can’t keep pace. Hudson Bay’s investment closes that gap, bringing FPUSA’s equity base to roughly $375 million and enabling the acceleration of project deployment. The FPUSA management team is well positioned to put this capital to work accelerating adoption of Eos’ zinc-based technology.”

The Hudson Bay investment follows a previously announced $100 million commitment from Cerberus Capital Management and Eos’ expected contribution of up to $150 million. Eos said it plans to fund its contribution through an upcoming rights offering.

Corporate funding for Energy Storage companies, including venture capital funding, debt, and public market financing, reached $2.3 billion across 38 deals in Q1 2026, a 5% increase year-over-year compared to the $2.2 billion raised in 31 deals in Q1 2025, according to Mercom’s Q1 2026 Funding and M&A report for Energy Storage.

In January, Terralayr, a developer, owner, and operator of battery energy storage assets, raised €192 million (~$223 million) in an equity round, including an €80 million (~$93 million) upsizing option. The funding was led by Eurazeo, through its Eurazeo Transition Infrastructure Fund, alongside its existing investors RIVE Private Investment, Creandum, Norrsken, Earlybird Venture Capital, and Picus Capital.