Arcadia, a clean energy platform that connects homeowners to clean energy programs in the United States, has secured $100 million in funding. The Series D funding round was led by Tiger Global Management and the Drawdown Fund. New investors, including Wellington Management, Reimagined Ventures, Camber Creek, MCJ Collective, and MCJ Capital, participated in the round.
The company plans to use the funding to accelerate its technology roadmap and increase product capabilities across new verticals. The company considers electric vehicles and distributed energy resources as new verticals that would spur innovation making renewables more accessible and cheaper. The company will continue to expand its community solar portfolio across the residential and commercial sectors.
Arcadia has raised $180 million in total capital, including $21 million in Series C-1 funding in December 2020. The company’s objective is to democratize access to energy data and renewables as an innovative approach to combat climate change. Arcadia raised the money after a year of rapid growth, which included acquisitions. It acquired Real Simple Energy, a retail energy broker focusing on client bill savings, in March. In April, Arcadia completed the acquisition of Nano grid, a company providing customized data solutions for home energy products.
Arcadia expects significant growth in community solar and the broader enablement of distributed solar in the next decade. The company aims to digitize and increase clean energy availability and has extended the community solar management portfolio to 500 MW.
Community solar projects are at the cutting edge of the energy transition in the U.S. They ensure a diverse range of customers, including commercial, industrial, and residential customers, have access to safe, accessible, and affordable renewable energy without having to install solar panels on their property.
The U.S. added 177 MW under the community solar segment in Q2 2021, an increase of 16% from Q2 2020. Solar Energy Industries Association and Wood Mackenzie released this data in their latest U.S. Solar Market Insight Report.
According to Mercom Capital Group’s 1H and Q2 2021 Funding and M&A Report on Battery Storage, Smart Grid, and Efficiency, VC funding for Energy Efficiency companies in 1H 2021 was 89% lower with $5 million compared to the $47 million raised in 1H 2020.
Solar companies raised $1.6 billion in VC funding in the first half of 2021, according to Mercom’s 1H and Q2 2021 Solar Funding and M&A Report.