July 24 (Renewables Now) - Venture capital (VC) funding for battery storage companies expanded to USD 539 million (EUR 461m) in the first half of 2018, marking a 12% year-on-year rise, according to Mercom Capital Group LLC.
The data was published in the consultancy’s report on funding and mergers and acquisitions (M&A) activity for the battery storage, smart grid and energy efficiency sectors for the second quarter and first half of 2018.
Corporate funding in battery storage came from 34 investors, the data shows. The top deal was a USD-80-million Series D financing round of behind-the-meter battery startup Stem Inc, aimed at supporting its international expansion. The second largest deal in terms of value was made by Germany’s Sonnen GmbH, which raised USD 71 million in a financing round led by Shell Ventures. Massachusetts-based materials technology company Ionic Materials, meanwhile, raised USD 65 million and Durapower got an investment of USD 40 million. The last one in the top-five was a USD-40-million financing round of thermal energy storage provider Ice Energy.
In January-June, there were four battery storage project funding deals worth a total of USD 34 million, as compared to USD 5 million in two deals in the year-ago period. The number of battery storage-related M&A transactions in the six months was eight, only one of which was with a disclosed value. This compares to two such deals in the first half of 2017.
(USD 1.0 = EUR 0.856)