Cleantech Venture Investing Tumbles Globally In The Second Quarter

Global venture investing in cleantech startups fell sharply in the second quarter to a 2½ year low, with $1.6 billion going to 155 startups, according to the Cleantech Group.

The funding was off 25% from a year ago and 14% from the first quarter. Total deals fell 21% from the first quarter, according to the Cleantech Group.

The biggest chunk of money went to solar deals – $253 million – followed closely by transactions in transportation, energy efficiency and biofuels. Water related deals brought in $135 million in capital.

The most active investors in the quarter were Draper Fisher Jurvetson, with seven deals, Kleiner Perkins Caufield & Byers, with six deals, Khosla Ventures, with five deals, and New Enterprise Associates, with five deals. VantagePoint Capital Partners did four deals.

Eighty-one percent of the capital was invested in the United States, or $1.3 billion, an 8% decline in dollars from the first quarter, the Cleantech Group said. Funding in Europe and Israel tumbled 35%.

Nine IPOs took place in the quarter, all in China. The largest was Solareast, a developer of solar water heaters. The quarter saw 51 M&A transactions, the Cleantech Group said.

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