The start-up grows thanks to the boom in solar systems and heat pumps.
(Photo:فkomma5grad)
Frankfurt The German energy start-up 1Komma5 Grad has secured 215 million euros in investor funds and has thus become a so-called unicorn just 23 months after its foundation. This is what companies are called with a valuation of more than one billion.
The company wants to invest the fresh money in technology related to the networking of electricity production on the home roof as well as consumption and trade, as founder Philipp Schröder told the Handelsblatt. Further acquisitions, especially in other European countries, are also planned.
For the new round of financing, 1Komma5 Grad won the well-known investor G2VP, the spin-off of the well-known Silicon Valley investor Kleiner Perkins, which specializes in green tech investments. The sponsors also include existing investors such as Porsche Ventures, Haniel, Eurazeo and b2venture. The equity round was heavily oversubscribed, said Schröder. “In total, we had to turn down almost 30 investors.”
1Komma5 Grad has obtained the right from its investors to issue non-voting shares in the amount of 215 million euros. The start-up is happy to provide part of the payment for company acquisitions with buy-back options (VSOP). This means that 1Komma5 Grad has up to 430 million euros available for acquisitions.
Like some of its competitors, the climate start-up is benefiting from the boom in renewable energies. Competitor Enpal recently doubled its valuation to 2.25 billion euros in a round of financing at the beginning of the year. According to financial circles, rival Energy Concepts Germany (EKD) is currently looking for investors with the help of Goldman Sachs, with a billion dollar valuation also in the room. EKD and Goldman declined to comment.
The founder of 1Komma5 Grad announces further acquisitions.
1Komma5 Grad offers solar systems, heat pumps, electricity storage and charging infrastructure for electric cars. The company installs the technology for customers and ensures long-term optimized operation, also with its own software. The share of sales from heat pumps is expected to increase from the current ten to 40 percent in the coming years. The Heartbeat energy management tool, for example, ensures that electricity produced by the customer is sold on the market when the price is high and electricity is bought in phases when it is low.
Philipp Schröder: “We are planning further acquisitions”
The boom in demand triggered by the Russian war of aggression against Ukraine is also noticeable in the figures from 1Komma5 Degree: For 2023, the start-up expects sales of up to 600 million euros and an operating profit of up to 60 million euros, which is roughly a tripling compared to 2022. The number of employees has grown to 1300.
After acquisitions in Germany, Sweden, Finland and Australia, 1Komma5 Grad took over Viasol, the Danish market leader for photovoltaics and electricity storage, a few days ago. “We are planning further acquisitions in Spain, Italy, Austria and Switzerland by the end of 2023,” said former Tesla Germany boss Schröder.
1Komma5 Grad prefers to buy handicraft businesses and ensures their professionalization and manufacturer certifications. In addition, 1Komma5 Grad wants to invest a high double-digit million amount in its development location in Berlin.
Assistance: Kathrin Witsch
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