US Battery Maker Eos Shares Jump as Firm Closes Federal Loan

By David R. Baker

December 03, 2024 at 11:31AM EST

A robotic arm operating at Scania CV AB battery assembly plant in Sodertalje, Sweden, on Tuesday, June 4, 2024. Swedish truck maker Scania is ramping up production of electric rigs now that previously delayed batteries from Northvolt AB have begun arriving in greater numbers at its factory in Sodertalje. Photographer: Erika Gerdemark/Bloomberg (Erika Gerdemark/Bloomberg)

(Bloomberg) -- Battery-maker Eos Energy Enterprises Inc. closed a $303.5 million US federal loan guarantee — sending its shares sharply higher — as the Biden administration races to finalize billions of dollars in clean-tech loans before leaving office.

Eos shares jumped as much as 19% on the news, the biggest intraday gain since late August. The stock was trading up 3.1% at $2.98 as of 11:31 a.m. in New York.

The loan from the US Department of Energy will finance two new production lines at Eos’s plant outside Pittsburgh, making enough grid-scale batteries per year to power 130,000 homes. Pending environmental review, the money may also help fund two additional production lines at a nearby facility.

The Energy Department is working to finalize many of the loans it has conditionally announced to clean-energy companies before President-elect Donald Trump takes office in January. Eos’s loan guarantee was first announced last year.