Global corporate investments in energy storage surge by 117% in First Half of 2024
Corporate funding in the energy storage sector saw a substantial increase in the first half of 2024, with total investments reaching $15.4 billion, according to a recent report by US-based research firm Mercom Capital.
This figure represents a 117% jump compared to the $7.1 billion raised during the same period in 2023, driven largely by a strong performance in the first quarter.
The report, titled 'Funding and M&A Report for Storage & Grid,' highlights that the $15.4 billion was amassed across 64 deals, a notable increase from the 59 deals recorded in the first half of 2023. Venture Capital (VC) funding alone accounted for $2.4 billion of the total, spread across 48 deals—a 37% rise from the $3.8 billion raised in 43 deals during H1 2023.
Lithium-ion battery companies were the primary beneficiaries of this funding surge. Other sectors that attracted significant VC interest included Battery Recycling, Metal-Hydrogen Batteries, Materials and Components providers, and Sodium-based battery firms.
You May Like
Debt and public market financing for energy storage companies also saw a remarkable rise, totaling $13 billion across 16 deals, compared to $3.3 billion raised through the same number of deals in H1 2023—a staggering 294% increase.
Mergers and acquisitions (M&A) activity within the sector also intensified, with 14 transactions recorded in H1 2024, up from eight in the same period last year.
In contrast, corporate funding for smart grid companies saw a slight decline, totalling $1.6 billion in 36 deals, an 11% drop from the $1.8 billion raised across 33 deals in the first half of 2023.
Domestically, India’s energy storage and smart grid sectors witnessed significant investments, with Maxvolt Energy securing $1.5 million to advance fast-charging lithium-ion batteries and build recycling plants.
In the smart grid space, Battery Smart, Relux Electric, and Husk Power Systems raised $65 million, $29.93 million, and $4 million, respectively.
