VC funding for smart grid companies increased to $129 million in nine deals in July-September quarter of 2018 as compared to $60 million in four deals in previous quarter
Clean energy communications and consulting firm, Mercom Capital Group, released a report on funding and mergers and acquisitions (M&A) activity for the smart grid, battery storage and energy efficiency sectors for first nine months and the third quarter of 2018.
According to the report, venture capital (VC) funding for companies in the smart grid sector has declined by 31% with $264 million in the first nine month of this year as compared to $380 million raised in the similar period last year.
However, VC funding for smart grid companies increased to $129 million in nine deals in July-September quarter of 2018 as compared to $60 million in four deals in previous quarter. There is a jump of 70% in funding amount on year-on-year basis compared to $76 million raised in 14 deals in the third quarter of 2017, said the report.
Major VC deals
During January-September period 2018, the top 5 VC deals were Smart Wires raised $55 million followed by $35 million raised by Volta Charging, $32 million by AutoGrid Systems, $31 million by Ample, and $27 million raised by Bidgely. In the nine-month period, a total of 48 VC investors have participated in funding companies in the smart grid sector, the Mercom’s report stated.
In the first nine months of 2018, announced debt and public market financing for smart grid companies was $1.3 billion raised in three deals as compared to $20 million in just two deals in the same period a year ago.
According to the report, there were overall nine smart grid merger and acquisitions (M&A) transactions in January-September 2018. However, there were 19 transactions in the same period last year. In the second and third quarter of this year, there were four smart grid M&A transactions each. On the other hand, there were six M&A transactions in smart grid sector in the third quarter of 2017.
