Beacon Power Corp.: $4.4 Million Investment Transaction

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Beacon Power Completes $4.4 Million Investment TransactionTYNGSBORO, Mass., Dec 24, 2008 – Beacon Power Corporation announced today that the Company has consummated the sale of 8,966,000 units to three investors for $0.50 per unit, as previously announced on December 22, 2008. Each unit consists of one share of the Company's Common Stock and a warrant to purchase one share of Common Stock at an exercise price of $0.74 per share. The units were issued pursuant to a prospectus supplement filed with the Securities and Exchange Commission in connection with a shelf takedown from the Company's registration statement that became effective on July 29, 2008.

The net proceeds to the Company are approximately $4.1 million after deducting placement agency fees and estimated offering expenses.


About Beacon Power

Beacon Power Corporation designs, develops and is taking steps to commercialize advanced products and services to support stable, reliable and efficient electricity grid operation. The Company's primary business strategy is to commercialize its patented flywheel energy storage technology to perform frequency regulation services on the grid. Beacon's Smart Energy Matrix, which is now in production, is a non-polluting, megawatt-level, utility-grade flywheel-based solution to provide sustainable frequency regulation services. Beacon is a publicly traded company with its research, development and manufacturing facility in the U.S. For more information, visit www.beaconpower.com.


SOURCE: Beacon Power Corporation

Beacon Power Corporation
James Spiezio, 978-694-9121
[email protected]
or
Gene Hunt, 978-661-2825
[email protected]
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