Optimal Tech Raises $25 Million

Optimal Technologies International Inc., a provider of solutions to help power utilities, businesses and consumers maximize their energy usage, has raised $25 million in private funding from Goldman Sachs.  The deal includes a $13 million up-front payment, and up to another $12 million in earn-outs.


Optimal Technologies International Inc. today announced that it has secured $25 million in financing from Goldman Sachs International to accelerate its growth and expand its market presence. The investment will allow Optimal to continue building out its product offering for energy utilities, businesses and consumers. Specifically, Optimal will complete the development of its technology that optimizes electric power systems from origin to end-user. The investment includes an immediate payment of $13 million to be followed by milestone payments over the next 12 months.


Optimal's product suite includes supply side electric power grid optimization and analysis software, called AEMPFAST(TM) (pron: aim-fast), and a demand side energy efficiency and automation system called SUREFAST(TM), to be launched in 2008.

“Global demand for power is expected to increase by as much as 60 percent over the next 20 years, and one of the best ways to manage this reality is to maximize the utilization of our existing power infrastructures. Optimal's mission is to make it easy for utilities, businesses and consumers to analyze and manage energy usage for complete optimization and efficiency,” said Roland Schoettle, founder and CEO of Optimal Technologies. “This financing from Goldman Sachs supports us in developing leading global solutions for both the supply and demand sides of energy management.”


Optimizing power delivery and increasing energy efficiency has tremendous social, economic and environmental implications worldwide. The World Bank states that the greatest barrier to economic growth is access to reliable and affordable power. Optimal's grid optimization solutions will be available globally, and will contribute to efforts to eliminate blackouts, improve third world economies and dramatically reduce greenhouse gas emissions by ensuring efficient power management.


AEMPFAST technology provides utilities of all sizes with the capability to make power grids more efficient, more reliable and more environmentally friendly. The company's SmartGrid analytics allow any power system to optimize the “flow” of power to end-users. This results in better reliability, lower operating costs, far fewer blackouts and brownouts and easier integration of renewable generators, such as wind and solar. In all client cases, AEMPFAST technology has improved system capacity by at least 10 percent and is unequaled in its ability to maximize power generation. Optimal has provided AEMPFAST analytics and services to major utilities, system operators and government entities.


“Optimal is a clear leader in the emerging field of energy analysis and management,” said Winston Hickox, former agency secretary for the State of California EPA. “At a time when global energy priorities require that we maximize the use of existing power, bring renewable energy sources seamlessly into our supply and act judiciously in creating new lower carbon emitting energy sources, Optimal's ability to improve system capacity is critical. This is a potentially world-changing technology that should play a vital role in 21st century energy utilization.”


SUREFAST technology is for commercial and residential buildings, campuses and utilities. The platform provides energy management and automation for intelligent, efficient and responsive homes and buildings.


“We are delighted to announce this investment in Optimal,” said Michael Linse from Goldman Sachs International, who joins Optimal's board of directors. “Its technology platform has the potential to drive efficiency and increase reliability across power networks. The technology should also allow businesses and consumers to optimize and monitor their energy usage and implement changes in a cost-effective manner.”

Optimal also recently received the Deloitte Technology Green 15 award, which recognizes companies that are creating breakthroughs in the area of green technology and is largely considered Canada's most prestigious awards program.

Optimal was introduced to Goldman Sachs by Verte GBS, which specializes in the environmental sector.


About Optimal Technologies

Optimal Technologies develops solutions to help power utilities, businesses and consumers maximize their energy usage. The company's mission is to enable a more efficient, reliable and environmentally responsible electric power grid. Optimal's unique products and services have the potential to create unprecedented industry, economic, environmental and consumer benefits worldwide. The privately held company is financed by Goldman Sachs International.


About Goldman Sachs

Goldman Sachs is a global investment banking, securities and investment management firm which provides a wide range of services to a substantial and diversified client base that includes corporations, institutional investors, governments, non-profit organizations and high-net-worth individuals. Goldman Sachs has its headquarters in New York and maintains significant offices in London, Frankfurt, Tokyo, Hong Kong and other financial centers around the world.