A distributed generator (DG) based on renewable energy is a promising technology for the future of the electrical sector. DGs may benefit utility companies and customers in a variety of perspectives. However, DGs suffer from intermittent behaviour. Storage systems appear as an attractive solution to support the continuous operation of DGs. The technology within the storage also plays an important role, since DGs and storage are connected in medium-voltage grids. The use of batteries and the DC/AC converter in its conventional structure presents drawbacks in such grids. In this context, this study presents a three-phase transformerless battery storage system (BSS) based on a cascaded H-bridge inverter applied to a medium-voltage grid. The BSS is composed of eight equal series connected H-bridge converters, without bulk transformers, for connection to a distribution grid. Each converter contains 75, 12 V/600 Ah lead-acid batteries. The converters are controlled through pulse-width modulation at 600 Hz. The BSS is able to keep working even with a failure of one of its converters. Reactive energy compensation not compensated by an existent passive filter is also performed. A case study with simulated and experimental results obtained through a hardware-in-the-loop system is presented showing the efficacy of the proposed BSS.