Energize Ventures, a venture firm known for its investments in climate-focused software, has successfully raised $300 million for new growth equity funds and has decided to rebrand itself as Energize Capital to encompass a broader investment strategy.
The capital infusion has significantly bolstered the assets under management for this Chicago-based firm, bringing the total to an impressive $1.2 billion, as announced recently. Despite the challenges faced by the startup industry and a dip in venture capital funding for climate tech after a period of rapid growth, Energize remains optimistic about the potential of climate software.
According to John Tough, the managing partner at Energize, the opportunities for climate software have far exceeded expectations. While overall venture capital funding for the year is projected to be the lowest since 2017, Energize is moving towards a more growth-focused approach, particularly in investments involving well-established companies in the growth stage. As startups that previously received funding continue to mature, a robust pipeline of enduring climate businesses is emerging, providing a promising outlook for investors.
Energize’s notable investments include PVcase, a solar project design software company based in Vilnius, Lithuania, which recently announced a substantial $100 million funding round. Additionally, the firm has invested in Aurora Solar, another solar software company, which achieved an impressive $4 billion valuation in February, following a funding round led by Energize and Coatue Management. These successful investments underscore Energize Capital’s dedication to driving positive change and innovation in the climate tech sector.