Voltus Goes Public: First Pure-Play DER Software Company Set to Transform Electricity Markets via SPAC Merger

Voltus has secured a definitive agreement to merge with Broadscale Acquisition Corp., a move that will establish the first publicly listed pure-play distributed energy resource (DER) software platform. Under the terms of the transaction, the combined entity will adopt the name Voltus Technologies, Inc. and trade on Nasdaq under the ticker “VLTS.” The deal values the combined company at approximately $1.3 billion on a pro forma equity basis, with expected closing in the first half of 2022.

The Business Case: Why Voltus Matters Now

The energy transition is reshaping how electricity grids operate globally. Traditional centralized power systems are giving way to decentralized, digitized networks powered by renewable sources. Voltus occupies a critical position in this transition—its software platform orchestrates and monetizes distributed energy resources including demand response, solar generation, energy storage, efficiency solutions, and EV charging infrastructure.

The addressable market reflects this urgency. With a global TAM projected at $120 billion by 2030, backed by falling renewable costs and supportive regulatory frameworks, DER deployment is accelerating rapidly. Voltus’s technology enables grid operators and energy companies to unlock value from these distributed assets, creating new revenue streams while supporting grid stability as intermittent renewable penetration increases.

Financial Momentum: The Numbers Tell a Compelling Story

Voltus’s trajectory demonstrates strong product-market fit. The company projects recurring revenue of $42 million in 2021, scaling to $170 million in 2023 and nearly $520 million in 2025—representing compounded growth that reflects both customer expansion and deepening market penetration.

This growth pipeline is tangible, not speculative. Voltus maintains approximately $275 million in contracted revenue backlog from committed megawatts already on its platform, alongside a $1.3 billion deal pipeline expected to expand significantly post-transaction. The company’s economics are equally impressive: approximately 40% gross margins, 100%+ net customer retention, and a 10:1 lifetime value to customer acquisition cost ratio—metrics that signal a capital-efficient, scalable model.

Market Position: Category Leader with Deep Market Penetration

Voltus serves over 600 customers, including marquee names like Home Depot, Coca-Cola, and Simon Property Group. The platform is the only DER software solution integrated across all nine U.S. and Canadian electricity markets, and it enables participation in more than 50 distinct monetization programs—significantly outpacing competitor offerings.

The leadership team brings formidable industry credentials. Led by CEO Gregg Dixon and President Matthew Plante, the executive group has collectively brought 12,000+ megawatts of DERs to market—more than any competing team. Chief Regulatory Officer Jon Wellinghoff previously served as the longest-tenured Chairman of the Federal Energy Regulatory Commission, adding regulatory sophistication to the organization.

Voltus processes approximately 2 million daily transactions reflecting DER positions, prices, and market changes, while collecting 5 million daily data points at 30-second intervals—creating one of the world’s largest energy databases.

Transaction Structure and Funding

The deal injects $445 million in gross proceeds into Voltus, comprising $345 million from Broadscale’s trust account (assuming no shareholder redemptions) and $100 million from a PIPE offering at $10 per share. The PIPE attracted institutional capital from Equinor Ventures, Belfer Management, Solanas Capital, and Ev Williams (Twitter co-founder and Obvious Ventures partner), alongside participation from Broadscale’s sponsor, Voltus management, and existing investors including Activate Capital and Ajax Strategies.

All Voltus shareholders will roll 100% of their equity into the public company, ensuring founder and investor continuity. The Boards of both companies have unanimously approved the transaction, which requires stockholder approval from both entities and is subject to customary closing conditions and regulatory approvals.

Strategic Imperatives: Where Proceeds Will Flow

Voltus management intends to deploy transaction proceeds to accelerate customer growth—both deepening relationships with existing enterprise accounts and capturing new customer segments. The company will also invest in expanding its DER technology partner integrations and scale international operations, building on early successes in Australia, South Korea, and the UK.

These growth vectors address a massive structural opportunity: approximately $3 trillion in global electricity expenditure is transitioning toward DER-based solutions over the coming decade. Voltus’s visibility into this demand is exceptional—customers sign contracts averaging five years in length, providing multi-year revenue predictability.

ESG Leadership and Societal Impact

Voltus positions itself as a pure-play ESG investment platform. By accelerating DER adoption, the company is facilitating displacement of an estimated 3.9 gigatons of annual CO2 emissions from fossil fuel power plants globally, creating measurable climate impact alongside financial returns.

The organization reflects commitment to diversity internally as well: women comprise 45% of Voltus’s leadership team and 38% of its board of directors.

What This Means for the Market

The combination creates the first publicly available pure-play investment vehicle focused exclusively on DER software orchestration. Prior to this transaction, investors seeking exposure to the distributed energy transition lacked a pure software-focused option within the DER category, with investments either concentrated in hardware/equipment manufacturers or integrated utilities.

The transaction closes a gap in capital markets accessibility to the DER software category during a period of extraordinary growth opportunity. As grid modernization accelerates and regulatory frameworks worldwide shift to support distributed generation, DER software becomes increasingly central to utility strategy and energy market operations.

Voltus’s public market debut positions it to capitalize on this inflection point with balance sheet capacity, access to capital for M&A and strategic partnerships, and the valuation currency of public equity to recruit and retain talent.

Timeline and Next Steps

The transaction is expected to close in the first half of 2022. Upon closing, the combined company will be listed on Nasdaq under ticker “VLTS.” Dan Leff, Senior Operating Partner at Broadscale Group with four decades of experience in energy and technology investment, will join the combined company’s board.

Additional transaction documentation, including the merger agreement and investor presentation, will be filed with the SEC as an exhibit to a Current Report on Form 8-K and will be available through Broadscale’s investor relations page and the SEC website.

Advisors to the transaction include Moelis & Company and Morgan Stanley & Co. serving as financial advisors, with Skadden, Arps, Slate, Meagher & Flom and Latham & Watkins providing legal counsel to Broadscale and Voltus respectively.