INVESTMENT ACTIVITY IN 2021 Emerging Industries
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Silicon Valley Bank’s 2022 The Future of Climate Tech Report evidences that climate tech is maturing, emphasized by the shift in investment over the last five years toward late-stage companies. New investors have entered the space as climate technology companies have moved beyond the proof-of concept stage and begun generating revenues. The share of deals over $100M has grown from 2% in 2017 to 8% in 2021. Energy and power saw the largest spike in investment last year, jumping from $4B in 2020 to $11B in 2021, driven by significant investment in nuclear fusion. 13 In the United States, 2021’s top three deals by dollar amount were: Commonwealth Fusion Systems, Helion Energy and TAE Technologies – which accounted for an aggregate $2.6B of venture capital investment. Fusion has the potential to be a near-limitless source of clean energy without the dangerous fissile material byproducts
presented by nuclear fission. However, the tech still requires immense capital to develop. Commonwealth, the most well-funded fusion startup, has raised $2.1B since its founding in 2017. 14 In 2022, 13 Canadian companies ranked in 2022’s Global Cleantech 100, a list of startups best positioned to grow, advance their technologies and tackle the climate crisis. 15 This list includes Canadian companies like CarbonCure, a Halifax-based company that helps producers recycle CO2 by trapping it in concrete, making concrete stronger while lowering the construction industry’s carbon footprint. Pani Energy, a cleantech company based in Victoria, uses artificial intelligence to optimize the operations of water-treatment facilities — increasing efficiency while reducing costs, energy consumption and emissions. 16
13 SVB: The Future of Climate Tech 14 SVB: The Future of Climate Tech 15 13 Canadian companies rank in 2022’s Global Cleantech 100 16 13 Canadian companies rank in 2022’s Global Cleantech 100
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