NeoVolta Provides Financing Update on Transformational Battery Manufacturing Joint Venture

Rhea-AI Summary

NeoVolta (NASDAQ: NEOV) completed approximately $23 million in financing and made an initial $7.0 million capital contribution to NeoVolta Power, LLC, a 60%‑owned joint venture to build a 2 GWh annual BESS manufacturing facility in Georgia. The company expects mass production in mid‑2026 and targets Phase 2 funding of $8.0 million due April 30, 2026. Financing proceeds support working capital, the Neubau Energy acquisition, and JV obligations. The JV is structured to scale to 8 GWh, may qualify for Section 45X tax credits, and the company continues evaluating project and equipment financing for Phase 3.

Positive

• $23 million in gross proceeds raised
• Completed initial $7.0 million JV contribution
• Controls 60% of a 2 GWh JV facility
• Mass production targeted mid‑2026
• Facility structured to qualify for Section 45X tax credits
• Illustrative $400M annual revenue potential at 2 GWh (at $200/kWh)

Negative

• $8.0 million Phase 2 JV payment due April 30, 2026
• Phase 3 funding of $10.0 million at commissioning remains unfunded
• Up to $15 million additional JV contributions possible through June 30, 2027
• Reliance on future financing alternatives for Phase 3 could dilute or increase leverage

News Market Reaction

-7.69%

7 alerts

-7.69% News Effect

+2.7% Peak Tracked

-13.7% Trough Tracked

-$14M Valuation Impact

$165M Market Cap

0.4x Rel. Volume

On the day this news was published, NEOV declined 7.69%, reflecting a notable negative market reaction. Argus tracked a peak move of +2.7% during that session. Argus tracked a trough of -13.7% from its starting point during tracking. Our momentum scanner triggered 7 alerts that day, indicating moderate trading interest and price volatility. This price movement removed approximately $14M from the company's valuation, bringing the market cap to $165M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Capital raised: $23 million Initial JV contribution: $7.0 million Phase 2 JV commitment: $8.0 million +5 more

8 metrics

Capital raised $23 million Gross proceeds from two financing transactions in Dec 2025 and Jan 2026

Initial JV contribution $7.0 million Phase 1 capital contribution completed in January 2026

Phase 2 JV commitment $8.0 million Second milestone contribution due April 30, 2026

Phase 3 JV commitment $10.0 million At commissioning via Asset Purchase Agreement

Additional JV contributions $15 million Potential further contributions through June 30, 2027

Initial JV capacity 2 GWh Annual BESS production capacity at Georgia facility, scalable to 8 GWh

Illustrative revenue $400 million Illustrative annual revenue at 2 GWh and $200/kWh at full utilization

Total addressable market $45 billion Estimated TAM by 2030 across residential, C&I, and financing/services

Market Reality Check

Price: $3.71 Vol: Volume 501,385 vs 20-day ...

low vol

$3.71 Last Close

Volume Volume 501,385 vs 20-day average 1,540,327 suggests relatively muted trading ahead of this update. low

Technical Shares at $4.03, trading slightly below the 200-day MA of $4.06 after a -7.14% move over 24 hours.

Peers on Argus

While NEOV fell 7.14%, several peers were also down: ESP -3.91%, NVX -3.21%, TGE...

While NEOV fell 7.14%, several peers were also down: ESP -3.91%, NVX -3.21%, TGEN -2.99%, FCEL -1.86%, ELVA -0.27%. Scanner data shows no coordinated momentum, pointing to a stock-specific reaction.

Previous Partnership Reports

2 past events · Latest: Dec 11 (Positive)

Same Type Pattern 2 events

Date	Event	Sentiment	Move	Catalyst
Dec 11	California partnership	Positive	+0.8%	Strategic collaboration to supply up to 160 MWh of storage in California.
Apr 11	VPP integration deal	Positive	+3.4%	Strategic partnership integrating NeoVolta batteries with Virtual Peaker’s VPP platform.

Pattern Detected

Partnership announcements have previously been followed by modest positive next-day moves.

Recent Company History

Recent history shows NeoVolta using partnerships to broaden market reach. A Dec 11, 2025 collaboration with Luminia targeted up to 160 MWh of storage in California and saw a 0.79% next-day gain. An earlier Apr 11, 2025 partnership with Virtual Peaker for AI-enabled virtual power plant integration coincided with a 3.35% rise. Against that backdrop, today’s financing and JV update extends the partnership-led growth strategy but came with a notably negative price move.

Historical Comparison

+2.1% avg move · Prior partnership headlines moved NEOV by an average of 2.07% upward. Today’s -7.14% reaction to ano...

partnership

+2.1%

Average Historical Move partnership

Prior partnership headlines moved NEOV by an average of 2.07% upward. Today’s -7.14% reaction to another partnership-related JV and financing update marks a sharp downside deviation from that pattern.

Partnerships have progressed from software-based VPP integration to project-level supply in California and now to a large-scale manufacturing JV, indicating a broadening of NeoVolta’s collaboration strategy across the value chain.

Market Pulse Summary

The stock moved -7.7% in the session following this news. A negative reaction despite highlighting c...

Analysis

The stock moved -7.7% in the session following this news. A negative reaction despite highlighting completed funding and JV progress could fit concerns about dilution and sizable future commitments, including the $8 million Phase 2 and $10 million Phase 3 payments. Past partnership headlines saw an average move of about 2.07%, so a much steeper decline would mark a deviation from prior patterns. Execution risk on the 2 GWh facility and additional capital needs may have weighed on sentiment.

Key Terms

private placement, registered direct offering, asset purchase agreement, battery energy storage system (BESS), +2 more

6 terms

private placement financial

"$13 Million Private Placement: Anchored by Infinite Grid Capital (IGC), a strategic investor"

A private placement is a way for companies to raise money by selling securities directly to a small group of investors instead of through a public offering. This process is often quicker and less regulated, making it similar to offering a special, exclusive investment opportunity to select individuals or institutions. For investors, it can provide access to unique investment options that are not available on public markets.

registered direct offering financial

"$10 Million Registered Direct Offering: Closed in January 2026 with Needham & Company"

A registered direct offering is a way for a company to sell new shares of its stock directly to select investors with regulatory approval. This method allows the company to raise funds quickly and efficiently without needing a public auction, similar to offering exclusive access to a limited number of buyers. For investors, it often provides an opportunity to purchase shares at a favorable price, while giving the company immediate access to capital.

asset purchase agreement financial

"Phase 3 (At Commissioning): $10.0 million via Asset Purchase Agreement with JV partner"

An asset purchase agreement is a legal contract in which a buyer agrees to buy specific assets and contracts of a business rather than buying the company’s stock or ownership. It matters to investors because it determines exactly what is being bought and what liabilities stay behind — like buying the furniture and equipment from a store but not the building or past debts — which affects the deal’s value, taxes and future risk exposure.

battery energy storage system (BESS) technical

"2 GWh battery energy storage system (BESS) manufacturing joint venture in Georgia."

A battery energy storage system (BESS) is a large-scale setup that stores electricity in rechargeable batteries and releases it when needed, like a giant rechargeable battery for the power grid. It matters to investors because it helps smooth out supply and demand, capture surplus renewable power, provide backup and short-term grid services that can earn recurring revenue, and can boost the value of generation and transmission assets as demand for flexible energy grows.

section 45x advanced manufacturing production tax credits regulatory

"Facility is structured to qualify for Section 45X Advanced Manufacturing Production Tax Credits"

A U.S. tax credit that pays manufacturers a fixed amount for each unit of qualifying clean-energy components produced domestically, intended to accelerate building of batteries, solar panels, wind parts and related processing of critical minerals. It matters to investors because it effectively acts as a per-unit rebate that reduces manufacturing costs, improves project returns and can turn marginal factory or supply-chain investments into profitable ones, influencing capital allocation and valuation.

domestic content requirements regulatory

"Tax Credits and meets domestic content requirements Timeline: Mass production"

Rules that require a certain share of a product’s parts, materials, labor, or value to come from inside a country before the product can qualify for government contracts, subsidies, tariffs exceptions, or market access. Think of it like a recipe that must include a minimum amount of local ingredients to earn a label; for investors this matters because such rules can change a company’s costs, supply chain choices and eligibility for lucrative public business or incentives, affecting revenue and risk.

AI-generated analysis. Not financial advice.

Company Completes $23 Million Capital Raise and Initial $7 Million JV Contribution

SAN DIEGO, Feb. 12, 2026 (GLOBE NEWSWIRE) -- NeoVolta Inc. (NASDAQ: NEOV) (“NeoVolta” or the “Company”), a U.S.-based energy technology company delivering scalable energy storage solutions, today announced it has successfully raised approximately $23 million in gross proceeds through two financing transactions in December 2025 and January 2026 to support working capital requirements and fund the Company's capital commitments to NeoVolta Power, LLC, a transformational 2 GWh battery energy storage system (BESS) manufacturing joint venture in Georgia. NeoVolta holds a 60% controlling interest in the joint venture, which is advancing rapidly toward mass production expected in mid-2026.

The Company has completed its initial $7 million capital contribution to the joint venture, representing the first of three funding milestones under the joint venture agreements. The financing proceeds substantially de-risk NeoVolta's near-term capital obligations while ensuring adequate working capital to support the Company's core residential and commercial energy storage business as it scales operations.

Recent Financing Transactions

Since announcing the formation of NeoVolta Power, LLC in January 2026, the Company has completed approximately $23 million in strategic equity financing:

• $13 Million Private Placement: Anchored by Infinite Grid Capital (IGC), a strategic investor with deep expertise in energy infrastructure, this transaction closed in December 2025 and January 2026. Proceeds funded the Company's initial $7 million joint venture contribution and provided approximately $6 million for working capital, including support for the Company's Neubau Energy acquisition and ongoing operations.

• $10 Million Registered Direct Offering: Closed in January 2026 with Needham & Company as exclusive placement agent, generating net proceeds of approximately $9.4 million. Proceeds are being used to support working capital requirements and position the Company to fund the April 30, 2026 milestone payment to the joint venture.
  

Three-Phase Capital Commitment Structure

NeoVolta's total committed capital contribution to the JV is structured in three distinct phases:

• Phase 1 (Completed): $7.0 million initial contribution – funded in January 2026

• Phase 2 (April 30, 2026): $8.0 million second milestone contribution

• Phase 3 (At Commissioning): $10.0 million via Asset Purchase Agreement with JV partner
  

Additionally, the joint venture operating agreement provides for up to $15 million in additional contributions through June 30, 2027, if needed to support expanded capacity, accelerated growth initiatives, or working capital requirements.

Strong Financing Position for Phase 2 Milestone

Following completion of its initial $7 million contribution, NeoVolta believes it has sufficient liquidity to meet its $8 million Phase 2 obligation due April 30, 2026, while maintaining flexibility to pursue additional strategic capital initiatives as appropriate. The Company continues to evaluate a range of financing alternatives for its Phase 3 commitment at commissioning, including equipment financing, project-level structures, and other capital sources, with a focus on disciplined capital deployment and long-term shareholder value.

In parallel with its capital planning, NeoVolta Power continues to advance operational milestones at the Georgia facility. The Company expects to provide further updates in the coming weeks as equipment procurement and commissioning activities progress toward targeted mid-2026 production.

Transformational JV With Key Industry Partners Progressing On Schedule

NeoVolta Power, LLC represents a transformational opportunity for NeoVolta to expand beyond its core residential market into the rapidly growing utility-scale and commercial & industrial (C&I) battery energy storage sectors. Key highlights include:

• Capacity: 2 GWh initial annual production capacity, scalable to 8 GWh

• Location: Georgia – strategically positioned in the Southeast U.S. energy corridor

• Ownership: NeoVolta holds 60% controlling interest

• Key Industry Partners: Strategic partnership with PotisEdge (battery manufacturing expertise) and LONGi (global tier-1 solar and energy storage equipment supplier)

• IRA Compliance: Facility is structured to qualify for Section 45X Advanced Manufacturing Production Tax Credits and meets domestic content requirements

• Timeline: Mass production targeted for mid-2026

• Illustrative Revenue Potential: At an illustrative $200 per kilowatt-hour, 2 GWh of annual production represents approximately $400 million of annual revenue potential at full utilization. This illustrative example is not a forecast, projection, or guarantee of future results and is provided solely to convey the scale of the opportunity. Actual results may differ materially based on product mix, customer contracts, pricing, capacity utilization, market conditions, competitive factors, regulatory changes, and numerous other factors. Investors should not rely on this illustrative example in making investment decisions.

• Expanded Market Opportunity: The joint venture is expected to expand NeoVolta's total addressable market to over $45 billion by 2030, including approximately $15 billion in residential storage, $10 billion in C&I storage, and over $20 billion in financing and services markets.
  

For more information on the joint venture announcement, please visit: NeoVolta Launches U.S. Battery Manufacturing Platform | NeoVolta

Management Commentary

“These financing transactions represent significant milestones in bringing our transformational Georgia battery manufacturing joint venture to life,” said Ardes Johnson, Chief Executive Officer of NeoVolta. “We've successfully raised $23 million, completed our first funding obligation on schedule, and believe we have established a pathway to fund the majority of our near-term capital commitments while maintaining working capital for our core business. The response from investors, including strategic partner Infinite Grid Capital and the institutional investors in our most recent offering, is encouraging as we pursue the value proposition of domestic BESS manufacturing with 60% ownership in a facility designed to produce IRA-compliant, American-made battery energy storage systems.”

“As we look ahead, the momentum at NeoVolta Power continues to build, and we're on track for mass production in mid-2026. This facility is designed to enable NeoVolta to compete in utility-scale and large commercial markets while maintaining our position in the residential sector. We're focused on disciplined capital deployment and continue to explore financing alternatives, including project and equipment financing, to complete our Phase 3 commitment at commissioning. We believe this represents a significant opportunity for NeoVolta and our shareholders.”

About NeoVolta

NeoVolta is an innovator in energy storage solutions dedicated to advancing reliable, high-performance power infrastructure for residential, commercial, and utility applications. With a focus on scalable technology, domestic manufacturing, and strategic partnerships, NeoVolta is positioned to support the accelerating transition toward resilient energy systems.

For more information, visit www.neovolta.com.

Forward-Looking Statements

Some of the statements in this release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and the Private Securities Litigation Reform Act of 1995, which involve risks and uncertainties. Forward-looking statements in this release include, without limitation, statements regarding the ability to raise additional capital, manufacturing capacity, production timelines, market opportunity, revenue potential, and future operations. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable as of the date made, expectations may prove to have been materially different from the results expressed or implied by such forward-looking statements. The Company has attempted to identify forward-looking statements by terminology including ‘believes,’ ‘estimates,’ ‘anticipates,’ ‘expects,’ ‘plans,’ ‘projects,’ ‘intends,’ ‘potential,’ ‘may,’ ‘could,’ ‘might,’ ‘will,’ ‘should,’ ‘approximately’ or other words that convey uncertainty of future events or outcomes to identify these forward-looking statements. These statements are only predictions and involve known and unknown risks, uncertainties, and other factors, including those discussed under Item 1A. “Risk Factors” in the Company’s most recently filed Form 10-K filed with the Securities and Exchange Commission (“SEC”) and updated from time to time in its Form 10-Q filings and in its other public filings with the SEC. Any forward-looking statements contained in this release speak only as of its date. The Company undertakes no obligation to update any forward-looking statements contained in this release to reflect events or circumstances occurring after its date or to reflect the occurrence of unanticipated events.

Contacts

NEOV Investors
Alliance Advisors IR
ir@neovolta.com

NEOV Media
Email: press@neovolta.com
Phone: 800-364-5464

FAQ

How much financing did NeoVolta (NEOV) raise to support the Georgia JV and operations?

NeoVolta raised approximately $23 million in gross proceeds to support JV commitments and working capital. According to NeoVolta, proceeds funded the initial $7 million JV contribution and working capital including the Neubau Energy acquisition.

What is NeoVolta's (NEOV) ownership and production capacity in NeoVolta Power, LLC?

NeoVolta holds a 60% controlling interest in NeoVolta Power, LLC, with an initial 2 GWh annual capacity. According to NeoVolta, the facility is scalable to 8 GWh and targets mass production in mid‑2026.

When is NeoVolta (NEOV) required to make the next JV payment and how much is it?

The Phase 2 milestone payment of $8.0 million is due on April 30, 2026. According to NeoVolta, proceeds from the registered direct offering are being used to position the company to meet that obligation.

What funding remains for NeoVolta's (NEOV) Phase 3 JV commitment at commissioning?

Phase 3 requires $10.0 million at commissioning and remains to be funded. According to NeoVolta, it is evaluating equipment financing, project structures, and other capital sources for Phase 3.

Does NeoVolta (NEOV) expect tax incentives for the Georgia manufacturing facility?

Yes, the facility is structured to qualify for Section 45X Advanced Manufacturing Production Tax Credits and meets domestic content requirements. According to NeoVolta, this supports the IRA‑compliant manufacturing structure.

What is the illustrative revenue potential from NeoVolta's (NEOV) 2 GWh production capacity?

At an illustrative price of $200 per kWh, 2 GWh equates to about $400 million in annual revenue at full utilization. According to NeoVolta, this is an illustrative example, not a forecast or guarantee of results.