Smart grid venture capital investments reach high in 2010


Raj Prabhu, Managing
Partner, Mercom
Capital Group
Austin, TX, U.S.A. — (METERING.COM) — January 26, 2011 – Venture capital funding in the smart grid sector reached its highest level in 2010, almost doubling compared to 2009, according to the global clean energy market intelligence, consulting and communications firm, Mercom Capital Group, llc.

In 2010 87 investors participated in 51 venture capital rounds with $769 million. The top smart grid venture capital transactions included the $165 million raise by Landis+Gyr, the $106 million raise by Trilliant and the $52 million raise by OpenPeak.

Merger and acquisition activity was also robust in the smart grid sector in 2010 with 40 transactions, according to the company. Of these only four transactions were disclosed for a total of $1.3 billion, with the acquisition of Ventyx by ABB for more than $1 billion the largest M&A transaction for the year. Other significant smart grid transactions included Maxim Integrated Products’ acquisition of Teridian Semiconductor for $315 million and NXP Semiconductors’ acquisition of Jennic for $20 million.

“It was a banner year for smart grid in terms of venture capital funding and M&A activity,” commented Raj Prabhu, managing partner at Mercom Capital Group.

In 2010 the top five investors in smart grid included GE Energy Financial Services, Emerald Technology Ventures, Kleiner Perkins Caufield & Byers, Foundation Capital and RockPort Capital Partners.