Peak Energy raises $108 million to expand sodium-ion battery output

Solmar Insights

US energy storage manufacturer Peak Energy has secured $108 million in an oversubscribed Series B financing round, targeting a ramp-up in its sodium-ion battery manufacturing capacity. The new capital is expected to support the buildout of US-based production facilities and address a pipeline of more than $1 billion in existing customer orders, particularly from utilities and data center operators seeking alternatives to lithium-ion solutions.

Series B details and investors

The round was led by General Motors Ventures, with participation from Maverick Silicon, Eclipse, Infinite Capital, Xora Innovation, and LG Technology Ventures. According to Peak Energy, the funding round was oversubscribed, reflecting investor confidence in the company’s approach to energy storage for grid and digital infrastructure markets. The investment is intended to accelerate expansion of domestic cell manufacturing in the United States, a priority amid increased federal incentives and supply chain goals for onshore battery production.

Peak Energy’s CEO Landon Mossburg stated that the company’s mission is to lower the cost of energy with technology that is safer, simpler, and more reliable than lithium-based solutions. The Series B round builds on a June 2026 partnership announcement with General Motors to co-develop advanced sodium-ion battery cells, appealing to large offtakers and data-centric buyers in the US energy sector.

Manufacturing expansion plan

Proceeds from the round will fund construction and commissioning of a new 4 gigawatt-hour manufacturing facility in Sacramento, California, with the first phase of production expected in the first quarter of 2027. The facility is designed to meet surging customer demand, including fulfillment of over $1 billion in current orders from utilities, data center operators, and grid-scale buyers. Peak Energy will leverage General Motors’ industrialization expertise to enhance domestic capacity, aiming to reduce lead times and hedge against international supply chain risks.

The company’s geographic focus on California positions it to address both Renewable Portfolio Standard (RPS) storage mandates and the escalating power redundancy needs of the fast-growing data center sector. By building capacity in Sacramento, Peak Energy aims to serve Western US utilities, ISO/RTO markets, and hyperscale digital infrastructure operators increasing power procurement in the region.

Technology overview and market demand

Peak Energy’s passively cooled sodium-ion battery systems are positioned as a lower-maintenance, lower-risk alternative to lithium-ion chemistries for grid and data center applications. The company claims its technology eliminates the need for active cooling, slashes operating and maintenance costs, uses no water, generates minimal noise, and reduces the risk of battery fires. These attributes directly address concerns from major utility and hyperscale buyers who are facing increasingly strict safety, sustainability, and cost constraints for new deployment.

Underlying market demand for non-lithium storage is rising across grid-scale and digital infrastructure segments. As data center operators seek both reliability and rapid deployability, sodium-ion offers a more geographically flexible, sustainable footprint well-suited for backup and load shifting near major compute clusters. Utility procurement is also signaling openness to sodium-ion as supply risk looms for lithium and regulators require diversified resource adequacy strategies.

Strategic implications for buyers

The financing signals that institutional capital recognizes the value of alternative chemistries as part of the long-duration storage stack. General Motors’s involvement further indicates a convergence between transportation, grid, and digital infrastructure supply chains, where battery safety and manufacturing scale are paramount. The partnership and new supply ramp could lower procurement risk and reduce operational overhead for buyers, especially those developing large interconnection-queued projects or hyperscale campuses with strict uptime and emissions requirements.

For land and power asset buyers, the Sacramento facility provides another avenue to localize supply and meet California storage procurement targets, while data center operators gain a supplier capable of gigawatt-hour-scale deliveries matched to site build-out schedules. Peak Energy’s stated pipeline gives developers confidence to plan around US-made, non-lithium storage for the 2026 to 2028 window, a critical period of growth for both grid and digital infrastructure procurement.

Reporting via the original publisher