Berlin-based Cloover, a climate fintech startup that enables vendors of renewable energy technologies to offer their services as a subscription, has secured $114M (approximately €104.82M) in a seed round of funding.
The investment was led by Lowercarbon Capital, a company started by “renowned” venture capitalist Chris Sacca. Other investors include 9900 Capital and QED.
Shawn Xu, Partner at Lowercarbon Capital, says, “Rooftop solar is a money-saving, no-brainer upgrade for homeowners, and Cloover’s tech stack and financing firepower gives installers the fastest possible path to electrifying the 200 million homes across the European continent.”
In October 2023, Cloover secured €7M in a pre-seed round of funding.
Making renewable energy more accessible and affordable
Cloover was started by four experienced entrepreneurs: Peder Broms, Jodok Betschart, Tony Kirmo, and Valentin Gönczy. Together, they have over 40 years of experience in finance and technology.
The founders have a track record of building two successful software and fintech startups. Their mission with Cloover is to make renewable energy more accessible and affordable, reflecting their dedication to sustainable solutions.
Co-CEO Betschart, says, “Cloover’s vision is to dismantle the silos among key stakeholders essential for a successful energy transition.”
“By streamlining the sales process for installers, managing payment flows and financing, procuring necessary materials, and overseeing energy production and consumption for individuals, Cloover connects the dots and leverages synergies across the entire value chain.”
The company’s platform lets vendors of renewable technologies provide services through subscriptions. This makes it easier for individuals and businesses to switch to renewable energy, as it is both cost-effective and low-risk.
The platform not only makes sustainable finance more accessible but also helps create a decentralised network of solar panels, battery storage, EV charging stations, and heating pumps.
These assets support local communities and improve the national grid infrastructure across Europe, highlighting Cloover’s positive impact on sustainable energy systems.
Co-founder Gönczy, adds, “The prevailing industry attitude has been closely guarding innovations, allowing larger companies to refine their operations and growth. However, to achieve Net Zero there is no time to delay progress, as still more than 85 per cent of all installations are done by SMB installers.”
“Our software empowers this target group with the same sophisticated digital tools that the big players have long had, enabling them to compete on an equal footing and accelerate sustainable energy adoption.”
Capital utilisation
With the funding, Cloover will focus on enhancing its software for installers and further improving its sales, payments, and financing services.
Co-founder Broms, says, “We are bringing renewables to the remaining mass market in Europe. That is 160 million households that are still left out. By combining our proprietary data on consumer energy savings with multiple capital sources, we are able to extend financing to households who previously could not access these assets.”
“Moreover, through our platform, Cloovers partners can unlock working capital for their operations which allows even faster deployment of renewables in Europe.”
Cloover claims to have witnessed progress in the renewable energy sector, boasting hundreds of partners across Europe and a revenue pipeline surpassing $3B. The company aims to transform the industry landscape by connecting 1 billion people to renewable energy.
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