British solar heat and power scaleup Naked Energy has secured £17 million in equity as part of a Series B first close. Previously, the startup raised £1 million back in 2022.
The latest round was led by E.ON, Europe’s largest energy networks and infrastructure operator, and supported by Barclays (which invested in WealthOS and Sustainable Ventures).
E.ON Energy Infrastructure Solutions (E.ON EIS) is a provider of integrated, sustainable energy solutions for cities and industries. It is part of the E.ON Group, one of Europe’s largest operators of energy networks and infrastructure, and a strategic partner to Naked Energy.
The partnership was initiated by E.ON Group Innovation through the global accelerator programme Free Electrons, in which E.ON’s innovation team identified the advanced Naked Energy technology.
How will it use the investment?
The investment will be used to supercharge its global expansion and the adoption of its solutions to decarbonise heat. It will also fuel the company’s growth plans, enabling the company to accelerate the international distribution of its award-winning solar heat and power technology with the adoption of innovative new business models.
E.ON EIS will benefit from access to the innovative Virtu product range for its commercial and industrial customers. The relationship between E.ON and Naked Energy will facilitate the provision of Naked Energy’s technology through a Heat-As-A-Service model to a global client base. The two companies are already working on a pipeline of projects across multiple territories.
Daniel Joisten, Head of Innovation Commercialisation at E.ON Energy Infrastructure Solutions, added: “Investing in Naked Energy has been a great decision for E.ON. Naked Energy’s solutions have distinctive and convincing value propositions. We will utilise them to help our customers, in industries such as Food & Beverage and Hospitality, to decarbonize their businesses profitably. We are looking forward to scaling our joint business activities, both from an E.ON perspective and on Naked Energy’s board of directors.”
Gavin Chapman, Co-Head of Principal Investments at Barclays, said: “To reach net zero, we need to rapidly scale new, innovative technologies to help reduce emissions in the sectors that are most difficult to decarbonise, particularly our homes and buildings. As we make our follow-on investment today, we’re excited to see and support Naked Energy’s continued growth and further deployment of their technology, supercharged by the partnership with E.ON.”
What does the company do?
Reportedly, the share of heat from renewable energy will increase by more than 40% worldwide from 2023 to 2028. As a result of the deal, Naked Energy is positioned to capitalise on this growing opportunity for renewable heat technologies.
Founded in 2011 by Christophe Williams, Naked Energy’s Virtu collector combines high-efficiency solar photovoltaic (PV) and solar thermal technology to generate both electricity and heat from a single collector, and their unique modular design makes them the world’s highest energy density solar technology. They let commercial buildings enjoy solar electricity and hot water from one collector.
The VirtuHOT collector, which generates solar heat, received the gold standard TUV Rheinland certification last year, and both technologies are proven to be 3-4x more efficient than commonly seen solar panels, and perfect for businesses with high heat demand but limited roof space.
The company has manufacturing bases in the UK and Europe and is scheduled to start manufacturing in Dallas, Texas later this year in partnership with its US distribution partner ELM Solar.
Christophe Williams, CEO of Naked Energy, said: “The first wave of investment of our Series B round is transformative for our journey and a great step in the wider movement to decarbonise heat. Both E.ON and Barclays share our sense of urgency to decarbonise heat. Heating takes up over half of all energy consumed globally, and as the demand for renewable heat continues to rise, we’re committed more than ever to supporting the commercial and industrial sectors in their transition away from natural gas.”
What do we think about Naked Energy?
The company’s solar heat and power technology positions it as a leader in the renewable energy sector. The funding will accelerate its global expansion and adoption of its Virtu product range. The strategic partnership with E.ON enables the deployment of a Heat-as-a-Service model, catering to industries with high heat demands.
With manufacturing bases in the UK, Europe, and soon the US, Naked Energy is well-equipped to meet the growing demand for renewable heat technologies.
