Berlin-based Vireo Ventures raises €20 million from EIF to accelerate electrification of energy systems | EU-Startups

The European Investment Fund (EIF) announced that is committing €20 million to the Vireo Electrification Fund I of Berlin-based Vireo Ventures, a VC targeting early-stage asset-light technologies enabling the digitalization and electrification of energy systems. The new fund has a size of up to €60 million. The EIF`s investment is backed by the REPowerEU-programme, as well as by the European Recovery Programme (ERP) of the German government.

The Vireo Electrification Fund invests into early-stage start-ups that develop new technologies in the areas of energy supply, mobility, transport, buildings and industry to accelerate the electrification of the energy sector. Vireo aims at investing in technologies that accelerate digitalization and intelligent monitoring and managing of energy systems. Among the first start-ups supported by the Fund are Amperecloud, a start-up that can manage the entire portfolios of owners and operators of renewable energy plants on one platform; Green Fusion, a company that provides an AI-enabled heating management for multi-family buildings; Pionix, an open-source software provider enabling the management of charging stations for electric cars; and About:Energy, a battery modelling software solution enabling better decision-making around battery selection, design, and supply for OEMs.

The fund is managed by Vireo Ventures, based in Berlin. The five founding partners, with complimentary backgrounds in the energy industry, entrepreneurship, and venture capital, previously ran innogy Ventures, one of the largest European corporate venture funds in the energy space. Over the years, the Vireo Ventures team has invested in more than 80 energy- and clean-tech start-ups, generating both financial and environmental returns.

In recognition of the significant impact the energy sector has, constituting over 70% of all CO2 emissions, the team started Vireo Ventures. Originally conceived as an angel investing platform dedicated to energy-tech, it has now evolved into a fund management firm. With a clear focus on seed-stage companies, Vireo Ventures specializes in identifying the most promising teams and technologies very early and supporting them on their way to product-market fit and initial growth.

Marjut Falkstedt, Chief Executive of the EIF, said: “Electrification has become the area of very important technological developments, and its importance will only continue to grow in the next decade. This opens significant potential for profitable investments and adds a powerful tool in the arsenal to tackle so many of the problems we are facing in decarbonizing the electricity sector. That’s why, at the EIF, we are proud to support advanced technology investors like Vireo Ventures to further boost European capabilities in the energy sector.”

Mischa Wetzel, Managing Partner of Vireo Ventures, added: “We firmly believe that electrification is the most important measure for mastering the path to global net zero and for achieving the Paris climate targets. That is why we fund start-ups contributing to this energy transition across the whole electrification value chain, from generation of renewable energy to grids and storage, to applications in the electrification of transport and mobility, real estate, and industrial processes. We are delighted about EIF joining us on our mission to nurture the European energy-tech innovation landscape and are looking forward to a long and impactful partnership.”