Wärtsilä Completes Acquisition of Greensmith Energy Management Systems Inc.

HERNDON, Va.–(BUSINESS WIRE)–The technology group Wärtsilä, today announced that it has closed the
acquisition of Greensmith Energy Management Systems, Inc., a market
leader in grid-scale energy storage software and integrated solutions.
The companies announced
the acquisition in May following a year-long global cooperation on
stand-alone energy storage and hybrid energy solutions.

In 2016, Greensmith’s revenue was USD 32 million with over 40 employees.
The transaction is valued at USD 170 million (enterprise value).
Greensmith will operate as a business unit within Wärtsilä Energy
Solutions providing both stand-alone energy storage as well as
hybridized energy systems, control software, and integration expertise.

The acquisition will enable Wärtsilä to rapidly expand its footprint in
the energy storage market globally and position itself as a premier
energy system integrator. Growth in the energy storage market is
expanding from the United States to new regions including the United
Kingdom, Asia and Australia. When Wärtsilä engine plants are further
optimized with energy storage, new sources of value can be offered to
customers and partners. Also, the growing capacity of renewable
generation, including solar PV, becomes more sustainable and attractive
when integrated with advanced energy storage.

“The acquisition of Greensmith positions Wärtsilä as a global leader in
energy system integration and hybrid solutions,” said Javier Cavada,
President of Wärtsilä Energy Solutions. “Greensmith brings an unmatched
track-record of software and systems integration capabilities, having
delivered a third of all 2016 energy storage installations in North
America. Wärtsilä’s global footprint with extensive sales and services
network, besides its proven EPC expertise, will create significant
synergies and growth.”

As a proven energy storage solutions and software company, Greensmith
has integrated and installed over 60 grid-scale systems including an
80MWh turn-key system recently deployed in California in under 4 months
to address a capacity emergency. The company provides a full range of
capabilities – from full turn-key solutions to design and integration
services and a fifth generation software package (GEMS) that today
supports multiple energy and power applications. Since 2013, Greensmith
has also deployed five grid-scale systems in the PJM frequency
regulation market (Pennsylvania, Jersey, Maryland power pool), the
world’s largest wholesale market, and serves a growing number of
independent power producers, investor-owned utilities, and engineering
procurement and construction companies around the world.

“The Greensmith team is excited and honored to become an integral part
of Wärtsilä, a global leader in energy solutions”, said John Jung,
Greensmith President & CEO. “With the accelerating growth in the energy
storage market, as well as, the need for more integrated, intelligent
hybrid energy solutions – the timing could not be better.”

Wärtsilä Energy Solutions in brief

Wärtsilä Energy Solutions is a leading global energy system integrator
offering a broad range of environmentally sound solutions. Our offering
includes ultra-flexible internal combustion engine based power plants,
utility-scale solar PV power plants, energy storage & integration
solutions, as well as LNG terminals and distribution systems. The
flexible and efficient Wärtsilä solutions provide customers with
superior value and enable a transition to a more sustainable and modern
energy system. As of 2017, Wärtsilä has 63 GW of installed power plant
capacity in 176 countries around the world.

www.smartpowergeneration.com

Wärtsilä in brief

Wärtsilä is a global leader in advanced technologies and complete
lifecycle solutions for the marine and energy markets. By emphasising
sustainable innovation and total efficiency, Wärtsilä maximises the
environmental and economic performance of the vessels and power plants
of its customers. In 2016, Wärtsilä’s net sales totalled EUR 4.8 billion
with approximately 18,000 employees. The company has operations in over
200 locations in more than 70 countries around the world. Wärtsilä is
listed on Nasdaq Helsinki.

www.wartsila.com

Greensmith in brief

As the leading provider of energy storage software and integration
services, Greensmith’s mission is to make energy storage a fundamental
part of a cleaner, more intelligent and distributed energy
infrastructure. Now in its fifth generation, Greensmith’s GEMS software
platform optimizes the performance of energy storage by lowering costs
and maximizing system return on investment.

Greensmith Energy designs and deploys the world’s most advanced energy
storage systems. From grid-scale to behind-the-meter and microgrid
solutions, the Greensmith GEMS software platform enables effective and
efficient delivery of stable power with unsurpassed performance and
profitability.

Facts:

• 180 megawatts of energy storage
• Powering over 60 sites globally
• Working with over 25 customers, including utilities and independent
  power producers (IPPs)
• Unparalleled expertise in integrating 16 different batteries and 14
  different inverters

www.greensmithenergy.com

Contacts

For further information please contact:
Wärtsilä Energy
Solutions
Javier Cavada
President
+358 10 709 5297
[email protected]
or
Risto
Paldanius
Director, Energy Storage
+358 40 584 2767
[email protected]
or
Greensmith
Energy
Mallory Sass
Director of Marketing
+1 408.966.5950
[email protected]
or
For
investor information, please contact:
Wärtsilä Corporation
Natalia
Valtasaari
Director, Investor and Media Relations
+358 10 709
5637
[email protected]