Release
Record Number of Clean Technology Venture Deals in 1Q 2010 Finds Cleantech Group and Deloitte
$1.9 billion in venture capital invested in 180 clean technology companies in 1Q10; transportation top sector by amount invested while energy efficiency attracted most deals
The Cleantech Group™, founders of the cleantech sector and providers of leading global market research, events and advisory services for the cleantech ecosystem, along with Deloitte, which provides audit, tax, consulting and financial advisory services to cleantech companies, today released preliminary 1Q 2010 results for clean technology venture investments in North America, Europe, China and India, totaling $1.9 billion across 180 companies.
Cleantech venture investment was up 29% from the previous quarter and up 83% from the same period a year ago. The number of deals recorded in 1Q 2010 represents a new record total, edging ahead of the previous high set in 4Q09 (165 deals).
"The bounce back in venture investment from lows in early 2009 has continued, with the first three months of 2010 representing the strongest start to a year we have ever recorded," said Sheeraz Haji, President of Cleantech Group. "Key to the growth has been increasing interest in a broader range of cleantech themes, such as smart mobility and resource efficiency, which are now taking over from the historically dominant renewable energy sector."
Growth in cleantech venture investment was matched by new investment from utilities and corporations. Total capacity additions announced by utilities increased in 1Q10* compared to 4Q09, as government incentives spurred spending on the part of companies. In the
In the corporate space, direct investments announced during 1Q10* increased by 140 percent quarter over quarter compared to 4Q09, primarily by energy and consumer and industrial products companies. Significant investments in biomass and wind projects were announced by Royal Dutch Shell, General Motors and Valero Energy. Solar PV, Wind and Smart Grid continue to be attractive sectors for top utilities and corporations looking to invest in clean technologies.
"Major utilities are focusing on increasing direct investment in alternative energy generation and smart grid projects due to favorable government incentives and improved market conditions as they work to reduce their carbon exposure and comply with renewable portfolio standards," said Scott Smith, partner, Deloitte & Touche LLP and clean tech leader in the
* preliminary 1Q10 data through 3/17/10
BY TECHNOLOGY SECTOR
The leading sector in the quarter by amount invested was transportation — predominantly infrastructure and vehicles — which had a record quarter ($704 million), helped significantly by a $350 million round for Better Place, the second largest cleantech VC deal ever. Solar was in second place ($322 million). Energy Efficiency was the most popular sector measured by number of deals, with 39 funding rounds, ahead of Solar and Transportation (which had 27 deals each). The largest transactions in these sectors were:
— TRANSPORTATION – $704 million in 27 deals
Deals included: California-based electric vehicle
infrastructure company
in a Series B round led by HSBC and also including Morgan
Corp., VantagePoint Venture Partners, Ofer Hi-Tech Holdings,
Morgan Stanley Principal Investments, and Maniv Energy Capital;
Fisker Automotive, a California-based developer of plug-in
hybrid cars, which raised $140 million from investors including
Kleiner Perkins Caufield & Byers and lithium-ion battery
company A123 Systems; and Coda Automotive, a California-based
electric car and battery company, which raised $30 million from
investors including Aeris Capital.
— SOLAR – $322 million in 27 deals
Deals included: SpectraWatt, an Oregon-based manufacturer of
crystalline silicon solar cells, which raised $41.4 million
from Cogentrix Energy, Intel Capital, and PCG Clean Energy &
Technology Fund; Petra Solar, a New Jersey-based developer
of pole-mounted solar systems for electric utilities, which
raised $40 million from Craton Equity Partners, Espirito
Santo Ventures, Element Partners, Blue Run Ventures, OnPoint
Technologies and
Company (NTEC); and Enphase Energy, a California-based
developer of solar microinverter systems, which raised $40
million in a deal led by Bay Partners.
— ENERGY EFFICIENCY – $217 million in 39 deals
The top three deals were all in LED lighting companies:
Netherlands-based Lemnis Lighting raised $37.5 million from
a unnamed consortium of existing investors and new investors
from
from CXC Capital, IDG Ventures, and private investors; and
Massachusetts-based Luminus Devices raised $19 million from
Argonaut Private Equity, Braemar Energy Ventures, Paladin
Capital Group and Stata Venture Partners.
VENTURE INVESTMENT BY WORLD REGION
North America accounted for 81% of the total, a three-year high for the region, while Europe and
GLOBAL M&As AND IPOs
There were 13 clean technology IPOs during the quarter, totaling $1.5 billion, down from 18 IPOs in 4Q09 totaling $2.9 billion.
The largest IPO recorded during the quarter was Sensata Technologies, a Netherlands-based maker of sensor and controls technology for applications including alternative fuel vehicles and solar panels, which raised $569 million from its offering on the New York Stock Exchange, giving the company a market capitalization of about $3.3 billion.
Clean technology M&A totaled an estimated 197 transactions in 1Q 2010, of which totals were disclosed for 55 transactions totaling $84 billion. This was a record total, with two large joint venture deals accounting for the bulk of the funding: India’s Airvoice Group and Satluj Jal Vidyut Nigamset set up a $50 billion joint venture to build renewable energy projects in India; and Shell Oil Company and Brazil’s Cosan, a sugar and ethanol producer, set up a $21 billion Brazilian biofuels joint venture.
TOP GLOBAL VC INVESTORS
Draper Fisher Jurvetson
Braemar Energy Ventures
Carbon Trust Investments
Foundation Capital
Good Energies
Intel Capital
Nth Power
Sequoia Capital
VantagePoint Venture Partners
WEB SITE:
https://www.deloitte.com
SOURCE Cleantech Group, LLC