Eos Energy secures $1 billion in financing to expand US battery production

EDISON, N.J. - Eos Energy Enterprises, Inc. (NASDAQ:EOSE) has completed two financing transactions totaling approximately $1.04 billion to strengthen its balance sheet and support manufacturing expansion of its American-made long duration energy storage systems. The company, currently valued at $3.79 billion, has seen its stock surge 357.78% over the past year according to InvestingPro data.

The zinc-based battery manufacturer closed a $600 million convertible senior notes offering with a 1.75% interest rate due 2031, generating net proceeds of approximately $580.5 million. Simultaneously, the company completed a registered direct offering of 35.9 million shares of common stock at $12.78 per share, raising approximately $458.2 million.

According to the company’s statement, proceeds will be used to repurchase $200 million of its existing 6.75% Convertible Senior Notes due 2030 and add approximately $474 million in cash to its balance sheet, after accounting for discounts and commissions.

"This was an opportunistic move to strengthen Eos for the scale in front of us," said Nathan Kroeker, Eos Chief Commercial Officer and Interim Chief Financial Officer in the press release.

The company also announced that the U.S. Department of Energy received warrants to purchase up to 570,000 shares of common stock as part of a restructured loan agreement. Additionally, holders of Eos public warrants exercised approximately 7 million warrants before expiration in the fourth quarter, adding $80.2 million to the company’s cash reserves.

Eos reported its commercial pipeline has reached $22.6 billion as of September 30, 2025, representing approximately 91 GWh of identified long duration energy storage demand across various sectors. Despite this impressive pipeline, InvestingPro data reveals the company is trading above its Fair Value and suffers from weak gross profit margins (-177.94%). However, revenue growth has been substantial at 324.1% over the last twelve months.

The company manufactures zinc-based long duration energy storage systems, which it positions as an alternative to conventional lithium-ion technology for applications requiring 4 to 16+ hours of energy storage.

Based on information from the company’s press release statement, the financing was oversubscribed, indicating strong investor interest in the transaction.

In other recent news, Eos Energy Enterprises announced the pricing of a registered direct offering of 35,855,647 shares of common stock at $12.78 per share, expected to generate approximately $458.2 million in proceeds. The company also priced a concurrent private offering of $525 million in 1.75% convertible senior notes due 2031. Stifel has maintained its Buy rating for Eos Energy, reiterating a $22.00 price target following the company’s recent balance sheet restructuring. The convertible senior notes have a conversion price of $16.29, representing a 27.5% premium to a future closing price.

Eos Energy has also announced plans to offer $500 million in convertible senior notes due 2031, with an option for initial purchasers to buy up to an additional $75 million in notes. These notes will be senior, unsecured obligations with interest payable semi-annually and will mature on December 1, 2031. The notes are being offered to qualified institutional buyers in a private offering. Despite these financial maneuvers, Eos Energy’s stock experienced a decline following the announcement of the convertible notes offering.

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