Aggreko has agreed to buy an energy storage company for £40 million.

The Glasgow-based group said the purchase of Younicos, which is headquartered in Germany and the US, will strengthen its position as global energy markets continue to evolve.

It is also in line with the company’s strategy to invest in technology to cut costs for consumers.

Younicos provides modular battery storage systems that are integrated with smart control functionality, with more than 200MW of installed storage systems worldwide.

Chris Weston, Aggreko Chief Executive said: “As energy markets continue to decarbonise, decentralise and become more digital, the integration and control of multiple energy sources, including thermal and renewable, will be essential to ensure the provision of reliable power.

“As a pioneer of smart energy solutions based on battery storage, Younicos is at the forefront of this trend. Together, we are a powerful combination; our scale, fleet and global presence, coupled with a smart energy capability, will allow us to open up new markets and provide our customers around the world with a reliable, cheaper and cleaner source of energy.”