Tuesday, September 6, 2011

General Compression squeezes $6M more from backers

By Rodney Brown

Newton energy storage firm General Compression Inc. has bumped its Series B round from an already impressive $54.5 million to a clean $60 million, federal documents show.

While the filing with the U.S. Securities and Exchange Commission did not disclose the names of the 23 backers in this latest tranche of its B round, it did say in a press release associated with the first tranche, worth $20.4 million, that investors included Toronto-based Northwater Capital Management Inc., US Renewables Group of Santa Monica, Calif., Charlotte, N.C.-based Duke Energy Corp. and Serious Change LP.

General Compression also noted in its latest filing that the company has “not yet consummated its subsequent closing,” indicating it has not brought in all of the money committed in the $54.5 million tranche. The company also stated in the filing that it would use the new proceeds for “general working capital purposes which includes payments to its executive officers and other employees in the ordinary course of business.”

All of this has happened over the course of a few months. The initial tranche was filed in late May, and the amendment to bring it to $54.5 million was filed just a little more than a week later. 

General Compression previously disclosed plans to work with partners on developing integrated wind storage projects along with standalone power storage projects. Corporate partners include ConocoPhillips and investor Duke Energy, according to the company’s website.