SOURCE: Mercom Capital Group

Mercom Capital Group

April 19, 2016 13:00 ET

Smart Grid, Storage and Efficiency Companies Raise $375 Million in Venture Capital in Q1 2016

Smart Grid Companies Receive $110M; Battery/Storage Companies Receive $54M; Energy Efficiency Companies Raise $211M

AUSTIN, TX--(Marketwired - Apr 19, 2016) - Mercom Capital Group, llc, a global clean energy communications and consulting firm, released its report on funding and mergers and acquisitions (M&A) activity for the Smart Grid, Battery/Storage and Energy Efficiency sectors for the first quarter of 2016.

Smart Grid
Venture capital (VC) funding (including private equity and corporate venture capital) for Smart Grid companies increased twofold Q12016 with $110 million(M) in 14 deals, compared to $56M in 12 deals in Q4 2015. Year-over-year (YoY), funding was down compared to Q1 2015 when the sector raised $185M in 15 deals.

Chart: Smart Grid VC Funding Q12016

The top VC funded Smart Grid companies included mPrest with $20M, Powerhive with $20M, Smart Wires with $20M, Telensa with $18M, and Evatran with $10M.

Chart: Top 5 Smart Grid VC Funded Companies Q12016

Twenty-two investors participated in Smart Grid funding rounds in Q12016.

There were two debt and public market financing deals announced by Smart Grid companies this quarter, totaling $214 million, compared to $3.5 million in one deal in Q4 2015.

There were two Smart Grid M&A transactions in Q1 2016 compared to nine transactions in Q42015 and seven transactions in Q1 2015.

Battery/Storage
VC funding for Battery and Storage companies dropped to $54M in 10 deals Q12016, compared to $108M in eight deals in Q42015. Year-over-year funding was lower compared to the $69 million in seven deals in Q1 2015.

The top VC funded Battery/Storage company this quarter was Sunverge Energy, which raised $36.5M, VionX Energy with $5M, Skeleton Technologies brought in $4.3M, Geli raised $3M, and Voltaiq raised $1.6M.

Chart: Top 5 Battery/Storage VC Funded Companies Q12016

Eight investors participated in Battery and Storage funding this quarter.

There were two debt and public market financing deals in Battery/Storage this quarter totaling $29 million compared to $32 million in three deals in Q4 2015.

Green Charge Networks raised $20 million for non-recourse project financing for energy storage systems.

There were two M&A transactions involving Battery/Storage companies in Q1 2016. In Q4 2015, there were two M&A transactions, and in a YoY comparison, there were five transactions in Q1 2015.

Efficiency
Energy Efficiency technology companies raised $211M in VC funding in 14 deals compared to $185M in 17 deals in Q4 2015 and $140M in 15 deals in Q1 2015.

The Top 5 Efficiency deals included $70m raised by Renew Financial, $30M raised by Figtree Financing, $30M raised by Ygrene Energy Fund, $25M raised by Enlighted, and Arctic Sand Technologies raised $19M.

Chart: Top 5 Energy Efficiency VC Funded Companies Q12016

Thirty-one investors participated in VC funding this quarter.

Two Efficiency companies brought in $238M in debt and public market financing this quarter compared to $216M in two deals in Q4 2015.

Renovate America announced its second green bond and sixth overall securitization of PACE bonds of $217.5M.

There were three M&A transactions in the Efficiency sector this quarter compared to 10 in Q4 2015.

To get a copy of the report, visit: http://bit.ly/MercomSGQ12016 

About Mercom Capital Group
Mercom Capital Group is a global communications and research firm focused on healthcare information technology, cleantech and financial communications. Mercom advises companies on new market entry, custom market intelligence and strategic decision-making. Visit: www.mercomcapital.com. To get our market intelligence reports, visit: www.mercomcapital.com/market_intelligence.php