Residential solar and energy efficiency solutions provider Zeo Energy has entered a definitive merger agreement with clean energy technology provider Heliogen to acquire the latter’s outstanding equity securities in an all-stock transaction.
The transaction creates a comprehensive clean energy platform that spans residential, commercial and utility-scale markets.
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Heliogen’s security holders will receive shares of Zeo’s Class A common stock valued at $10m, with an adjustment mechanism based on Heliogen’s net cash at closing.
Post-merger, Zeo plans to create a dedicated division targeting long-term energy production and storage solutions for commercial and industrial facilities.
The new division will leverage Heliogen’s brand, intellectual property and technical talent, with a particular emphasis on AI and cloud computing data centres.
At the close of the transaction, Zeo anticipates benefiting from Heliogen’s incremental liquidity, which will support future investments in the solar and energy storage space.
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By GlobalDataZeo’s affiliated financing arm, which has provided more than $44m in clean energy tax equity financing, will be available for future Heliogen projects.
CEO Tim Bridgewater stated: “Through this acquisition, we believe that Zeo will be able to accelerate our vision of serving energy consumers across the spectrum – from residential rooftops to larger-scale industrial solar and storage applications to build an energy platform at scale.”
The merger will expand market reach, provide operational synergies, strengthen the balance sheet, enhance financing capabilities and accelerate growth opportunities.
By combining Zeo’s residential solar footprint with Heliogen’s expertise in long-duration energy storage, the transaction can address power quality and energy capacity issues for critical infrastructure, while also supporting grid stability.
The transaction has received unanimous approval from both companies’ boards of directors.
The deal is expected to close in the third quarter of 2025.
Heliogen CEO Christiana Obiaya stated: “This transaction is the result of the Heliogen Board’s comprehensive review of strategic alternatives. Our board is unanimous in its belief that this transaction is the optimal path forward and in the best interest of our stockholders.”
Piper Sandler & Co and Ellenoff Grossman & Schole are serving as financial advisor and legal counsel to Zeo respectively. Pickering Energy Partners and Cooley are acting in the same capacities for Heliogen.
