Global corp funding for battery storage shrinks in Jan-Sep

Global corporate funding in the energy storage sector contracted by 31% on the year to USD 15.2 billion (EUR 14.32bn) in the first nine months of 2023, while venture capital (VC) funding surged by 115% in annual terms in line with the expansion of the solar market.

Corporate funding for energy storage in the nine months was raised in 94 deals, against 93 deals totalling USD 22 billion in the year-ago period, shows the latest report by Mercom Capital Group. According to the statistics, the year-ago period largely benefitted from the USD-10.8-billion IPO of South Korea's LG Energy Solution.

“When we look at the broader historical context of the last five to six years, funding in energy storage remains strong,” commented Mercom’s CEO Raj Prabhu.

Meanwhile, VC funding in energy storage in January-March experienced a significant increase, reaching USD 8.6 billion in 68 deals. The concluded transactions concerned mainly companies investing in lithium-ion technologies, while battery recycling companies followed closely behind thanks to recycling initiatives covered by the Inflation Reduction Act (IRA) in the US.

A total of 11 energy storage companies changed their ownership in the three quarters, against 23 in the year-ago period.

(USD 1.0 = EUR 0.942)

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