Florida-based Zeo Energy has agreed to acquire Heliogen, a concentrated solar power producer, for $10 million as it targets data centers and growth in long-duration energy generation and storage.

The residential solar company on May 29 said it will acquire all of Heliogen’s outstanding equity securities in an all-stock transaction. The deal merges Heliogen’s long-duration energy storage expertise with Zero’s residential solar and storage footprint.

The proposed transaction was approved by both companies’ boards of directors. It is expected to close in third-quarter 2025, subject to customary closing conditions and approval by Heliogen’s stockholders. Heliogen also must have a specified minimum amount of net cash at the closing, according to a news release.

“Heliogen brings a set of practical solutions to customers, particularly data centers, looking for longer duration energy storage with substantially lower costs than alternatives on the market," said Zeo Energy CEO Tim Bridgewater. “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.”

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Heliogen’s securityholders will receive Zeo’s Class A common stock valued at approximately $10 million in the aggregate, based on a Zeo Class A common stock price of $1.5859 per share, under terms of the agreement. The amount is subject to an adjustment mechanism based on Heliogen's net cash at the closing, the release states.

“We believe this combination offers a compelling opportunity for Heliogen stockholders through the opportunity to participate in the substantial growth potential of the combined company,” said Heliogen CEO Christiana Obiaya. “We believe that Zeo’s proven track record and network of customers can enhance the value creation opportunities for Heliogen’s solutions and technical capabilities, while enhancing liquidity for stockholders. We’re proud to be joining forces to scale practical, dispatchable clean energy solutions.”

While the transaction is expected to streamline costs and lower corporate overhead while expanding market reach, Zeo’s financing arm could also help finance future Heliogen utility-scale and long-duration energy storage projects.

Zeo said its financing arm has provided more than $44 million in clean energy tax equity financing to date.

Piper Sandler & Co. is acting as financial adviser with Ellenoff Grossman & Schole LLP as legal counsel to Zeo. Pickering Energy Partners is serving as financial adviser with Cooley LLP as legal counsel to Heliogen, according to the news release.

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