Mercom Capital Group, a global clean energy communications and consulting firm, has 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.
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.
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.
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.