By July 12, 2017 Read More →

Corporate solar sector funding hits $4.6 billion in first half of 2017

solar sector

Solar sector funding

Solar public market funding in first half of 2017 increased to $934M versus $276M in 2016

Mercom Capital Group, llc, a global clean energy communications and consulting firm, released its report on funding and merger and acquisition activity for the solar sector in the first half and second quarter of 2017, according to a press release.

Total corporate funding (including venture capital funding, public market and debt financing) in first half of 2017 increased to $4.6 billion raised versus the $4.5B raised in first half of 2016.

There were 97 deals in the first half of 2017 versus 79 deals in 2016.

pembinaCorporate funding in the solar sector fell in Q2 with $1.4B raised in 37 deals versus $3.2B in 60 deals in Q1 2017. Year-over-year funding in Q2 2017 was 17 percent lower than Q2 2016’s $1.7B.

“There is a great deal of uncertainty in the solar markets right now, which is reflected in funding activity. However, solar public companies, especially on the U.S. stock markets, have done well this year. A lot is riding on how the Suniva anti-dumping case plays out as it will dictate market dynamics going forward,” said Raj Prabhu, CEO of Mercom Capital Group.

Suniva is a bankrupt Atlanta solar cell that last month filed a petition seeking broad duties on cheap imports from China and other countries, a request that will likely be ruled upon by President Donald Trump.

Ironically, Suniva was bought in 2015 by Chinese-owned Shunfeng International Clean Energy, which could put Trump in the position of supporting a Chinese company’s request to impose trade barriers against Chinese imports, according to the Financial Times.

Global VC funding (venture capital, private equity, and corporate venture capital) was 23 per cent higher in first half of 2017 with $713 million versus $579M in 2016.

Top VC deals in first half 2017: $200M by ReNew Power Ventures; $155M by Greenko Energy Holdings; $125M by Hero Future Energies; Silicon Ranch’s $55M, $25M by Siva Power, and $25M by Spruce Finance. 55 investors participated in solar funding in 1H 2017.

Solar public market funding in first half of 2017 increased to $934M versus $276M in 2016.

solar sector

Announced debt financing in first half 2017 was $3B versus $3.7B in 2016. The only securitization deal in Q2 2017 was Sunnova’s $255M.

Announced large-scale project funding in first half 2017 was $7.4B in 81 projects.

Announced residential and commercial solar funds totaled $1.8B in 1H 2017 versus $2.3B in 1H 2016.

1H 2017 had 40 M&A transactions versus 30 in 1H 2016.

100 large-scale project acquisitions in first half 2017 totaled 10.6 GW versus 90 totaling 4.5 GW in 1H 2016.

Investment firms and funds picked up 37 projects totaling 4.2 GW in 1H 2017; project developers had 17 transactions for 4.6 GW.

Mercom tracked 206 new large-scale project announcements worldwide in Q2 2017 totaling 11.1 GW.

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