Eos seeks to reassure investors after customer backlog allegations

July 31, 2023

Energy storage system manufacturer Eos Energy Enterprises has sought to reassure investors that customers representing a significant proportion of its backlog are financially sound companies following allegations that Eos Energy had large contracts with companies that were unlikely to honour their obligations.

A statement issued by Eos Energy said International Electric Power, LLC, “has partnered with Eos since 2020 to co-develop two energy projects in Texas, with Eos providing upfront funding that was repaid when the project secured financing. The first of these projects is currently scheduled to break ground later this summer with product shipments expected in 2023.”

The statement also sought to address allegations regarding its customer Bridgelink Commodities.

In the statement, Eos Energy referred to reports concerning “legal proceedings involving multiple Bridgelink legal entities”. The statement added that Eos Energy “believes that its customer, Bridgelink Commodities, LLC, is a separate legal entity which is not implicated in the legal matters” highlighted by reports. 

The statement went on to say that Bridgelink Commodities, which represents 45 per cent of Eos Energy’s backlog, had “reconfirmed that it continues to build pipeline and is actively seeking financing for energy storage projects covered by Eos’s multi-year master supply agreement”.

The financial positions of both International Electric Power, LLC, and Bridgelink Commodities had been the subject of scrutiny by Iceberg Research.