ENECHANGE : Notice Concerning the Investment to ZincFive, Inc.

Press Release

June 15, 2022

ENECHANGE Ltd.

ENECHANGE announces investment in US-based ZincFive, developer of a nickel-zinc battery that is high-power,fail-safe, sustainable, and cost-effective

ENECHANGE Ltd. (Head Office: Chiyoda-ku, Tokyo; Representative Director & CEO: Yohei Kiguchi;

Representative Director & COO: Ippei Arita) is pleased to announce that it has invested in ZincFive, Inc. through Japan Energy Fund's (JEF) Decarbonized Tech Fund managed by Japan Energy Capital.

ZincFive is the world leader in innovation and delivery of nickel-zinc batteries and power solutions.

This financing round includes funding from OGCI Climate Investments, among other current and new investors.

(Source: ZincFive) Image of ZincFive's nickel-zinc technology

■Background

The global uninterruptible power supply (UPS) market size is projected to grow at a CAGR of 8%* between 2022 and 2027. Furthermore, the global market for hyperscale data centers, one of ZincFive's target markets, is forecast to grow at a CAGR of 26.32%** until 2027.

The nickel-zinc battery technology handled by the company, as a UPS battery, has the potential to be commercialised and to grow significantly, especially in the data center sector.

*Source: Mordor Intelligence: "UNINTERRUPTIBLE POWER SUPPLY (UPS) MARKET - GROWTH, TRENDS, COVID-19 IMPACT, AND FORECASTS (2022 - 2027)" https://www.mordorintelligence.com/industry-reports/uninterruptible-power-supply-market

**Source: Markets and Markets: "Hyperscale Data Center Market by Solution (Server, Storage, Networking, Software), Service (Consulting, Installation and Deployment, Maintenance and Support), End-User, Data Center Size, Industry, and Region - Global Forecast to 2022" https://www.marketsandmarkets.com/Market-Reports/hyperscale-data-center-market-26026183.html

■About ZincFive´s nickel-zinc technology

ZincFive's nickel-zinc (NiZn) technology harnesses The Power of Good Chemistry™ to create high-power battery solutions that are good for business, good for people, and good for the planet. ZincFive's immediate power batteries offer high discharge rates and safety, in a small footprint. Its applications are UPS, industrial starters and grid peak shaving.

■About ZincFive

ZincFive is the world leader in innovation and delivery of nickel-zinc batteries and power solutions. With more than 90 patents awarded, ZincFive technology harnesses The Power of Good Chemistry to propel the world forward. ZincFive technology leverages the safety and sustainability of nickel-zinc chemistry to provide high power density and performance to mission critical applications. ZincFive is a privately held company based in Tualatin, Oregon. For more information, visit www.zincfive.com.

■ Comments

Yohei Kiguchi, Founder and CEO of Japan Energy Fund and ENECHANGE Ltd.

We are excited to join this investment round in ZincFive with other existing and new investors. ZincFive's battery innovations are a key step on the road to decarbonization, and they have demonstrated promising commercial adoption in batteries at data centers and in the intelligent transportation system sector. We see a strong fit in Japan, which is looking to decarbonize under the Japanese government's directions as set out in the Green Growth Strategy. We aim to support ZincFive's development in the Japanese market through the establishment of a collaborative business relationship, beginning with this investment.

Tim Hysell, ZincFive CEO

Our customers are thrilled with our nickel-zinc batteries and power solutions delivering higher performance without forcing them to compromise on safety and the environment. The opportunity to partner with ENECHANGE provides the capital and strategic relationships to bring nickel-zinc batteries into new global growth segments.

■ Decarbonized Tech Fund - Objectives and Investment Policy

The Decarbonized Tech Fund aims to accelerate the realization of a decarbonized society by investing in critical enabling technologies. The Fund primarily invests in climate tech that helps decarbonize the grid (generation and demand side), electrify transport (e.g., electric vehicles and surrounding infrastructure) and capture carbon. It does so by sourcing leading overseas ventures to invest in, prioritizing those that have the potential to accelerate the decarbonization of the Japanese economy.

Website: https://www.japanenergyfund-ventures.com/

■Japan Energy Fund - Summary

Fund name	Japan Energy Capital 2 L.P. ("Decarbonized Tech Fund")
Date of establishment	September 30, 2021
Investment method	Capital call method
Investment target	Energy tech ventures from overseas
Fund target size	50 million US dollar
Operation period	Until September 2031
General partner	Japan Energy Capital limited liability company
Limited partners	ENECHANGE Ltd.
*As of 30 September 2021	BIPROGY Inc. (former Nihon Unisys Limited)
	Toshiba Energy Systems & Solutions Corporation
	Sumitomo Mitsui Trust Bank, Limited

■About ENECHANGE Ltd.

ENECHANGE is an energy technology company with the mission of Changing Energy For A Better World, and promotes a carbon-free society through digital technology. Founded in 2015 and listed on the Tokyo Stock Exchange Mothers in 2020 (securities code: 4169), ENECHANGE works in the 4Ds of Energy: Deregulation, Digitalization, Decarbonization, and Decentralization. We offer a range of SaaS solutions for energy companies and are experiencing rapid growth. Our company's roots come from an energy data lab at the University of Cambridge, U.K., a country where liberalization is mature. ENECHANGE has a U.K. subsidiary, SMAP Energy Limited, which has developed analytical technology for energy data and provides us with links to a global network.

URL: https://enechange.co.jp/en

■For press inquiries, please contact ENECHANGE Ltd. Public [e-mail]

Note: The purpose of this press release is not to provide investment management services or to solicit specific investment products from ENECHANGE Ltd., BIPROGY Inc., Toshiba Energy Systems & Solutions Corporation, or Sumitomo Mitsui Trust Bank, Limited.

This press release does not constitute a solicitation by ENECHANGE Ltd., BIPROGY Inc., Toshiba Energy Systems & Solutions Corporation, or Sumitomo Mitsui Trust Bank, Limited for any of the aforementioned funds.