Deloitte and Cleantech Group recently released preliminary 1Q 2010 
results for clean technology venture investments in North America,
Europe, China and India, totaling $1.9 billion across 180 companies.



According to the companies’ research, clean-tech venture investment
was up 29% from the previous quarter and up 83% from the same period a
year ago. The number of deals recorded in 1Q 2010 represents a new
record total, edging ahead of the previous high set in 4Q09 (165 
deals).



“The bounce back in venture investment from lows in early 2009 has
continued, with the first three months of 2010 representing the
strongest start to a year we have ever recorded,” said Sheeraz Haji,
President of Cleantech Group. “Key to the growth has been increasing
interest in a broader range of cleantech themes, such as smart
mobility and resource efficiency, which are now taking over from the
historically dominant renewable energy sector.”



Some highlights from Deloitte/Cleantech:



BY TECHNOLOGY SECTOR


The leading sector in the quarter by amount invested was
transportation—predominantly infrastructure and vehicles—which had a
record quarter ($704 million), helped significantly by a $350 million
round for Better Place, the second largest cleantech VC deal ever.
Solar was in second place ($322 million). Energy Efficiency was the
most popular sector measured by number of deals, with 39 funding
rounds, ahead of Solar and Transportation (which had 27 deals each).
The largest transactions in these sectors were:



TRANSPORTATION - $704 million in 27 deals

Deals included: California-based electric vehicle infrastructure
company Better Place which raised $350 million in a Series B round led
by HSBC and also including Morgan Stanley Investment Management,
Lazard Asset Management, Israel Corp., VantagePoint Venture Partners,
Ofer Hi-Tech Holdings, Morgan Stanley Principal Investments, and Maniv
Energy Capital; Fisker Automotive, a California-based developer of
plug-in hybrid cars, which raised $140 million from investors
including Kleiner Perkins Caufield & Byers and lithium-ion battery
company A123 Systems; and Coda Automotive, a California-based electric
car and battery company, which raised $30 million from investors
including Aeris Capital.



SOLAR - $322 million in 27 deals

Deals included: SpectraWatt, an Oregon-based manufacturer of
crystalline silicon solar cells, which raised $41.4 million from
Cogentrix Energy, Intel Capital, and PCG Clean Energy & Technology
Fund; Petra Solar, a New Jersey-based developer of pole-mounted solar
systems for electric utilities, which raised $40 million from Craton
Equity Partners, Espirito Santo Ventures, Element Partners, Blue Run
Ventures, OnPoint Technologies and Kuwait’s National Technology
Enterprises Company (NTEC); and Enphase Energy, a California-based
developer of solar microinverter systems, which raised $40 million in
a deal led by Bay Partners.



ENERGY EFFICIENCY - $217 million in 39 deals

The top three deals were all in LED lighting companies: Netherlands-
based Lemnis Lighting raised $37.5 million from a unnamed consortium
of existing investors and new investors from Africa; China-based Wuhan
HC SemiTek raised $22 million from CXC Capital, IDG Ventures, and
private investors; and Massachusetts-based Luminus Devices raised $19 
million from Argonaut Private Equity, Braemar Energy Ventures, Paladin
Capital Group and Stata Venture Partners.



VENTURE INVESTMENT BY WORLD REGION


North America accounted for 81% of the total, a three-year high for
the region, while Europe and Israel accounted for 14%, China for 4%,
and India 1%.



NORTH AMERICA: North American companies raised USD $1.5 
billion, up 79% from 4Q09 and up 133% from 1Q09. The 120 disclosed
rounds was the highest total ever. As the most significant region for
VC investment, the sector trends broadly match those described
globally. The region accounted for the six largest venture deals
(Better Place, Fisker Automotive, Vulcan Power, Enerkem, Petra Solar,
and Ze-gen). California led the way, with $870 million (57 percent
total share) in investment, followed by Oregon ($179 million, 12 
percent).



EUROPE: European and Israeli companies raised USD $257 million
in 43 disclosed rounds, down 49% from 4Q09 but up 8% from 1Q09. The
quarterly drop in investment followed two of the strongest quarters
ever recorded. The largest deal was for Irish renewable energy
developer Mainstream Renewable Power, which raised $40 million,
followed by Dutch LED lighting company Lemnis Lighting which raised
$37.5 million. The top three countries for investment were the UK ($48 
million, 16 deals), France ($43 million, 9 deals), and Ireland ($40 
million, 1 deal).



CHINA: Chinese companies raised USD $72 million in 10 disclosed
rounds. Although the total investment was approximately the same as in
the previous quarter, the deal count was the highest in more than
three years. The two largest deals were for Wuhan HC SemiTek, an LED
lighting company, which raised $22 million from CXC Capital (a joint
venture of China Development Bank and Cisco Systems), IDG Ventures and
private investors; and Prudent Energy, a developer of vanadium redox
flow batteries for large scale energy storage, which raised $22 
million in Series C funding from Northern Light Venture Capital,
Sequoia Capital China, Draper Fisher Jurvetson and DT Capital.



INDIA: One Indian cleantech company publicly announced VC
funding in 1Q 2010. Azure Power, a solar power plant developer, raised
$10 million in Series B funding from the International Finance
Corporation, Helion Advisors and Foundation Capital.



GLOBAL M&As AND IPOs


There were 13 clean technology IPOs during the quarter, totaling $1.5 
billion, down from 18 IPOs in 4Q09 totaling $2.9 billion. China
accounted for the majority of transactions, with eight offerings. The
number of high profile companies registering to go public in the U.S.
in late 2009 and early 2010 failed to translate into the volume of
IPOs that many predicted, with only three North American cleantech
IPOs in 1Q 2010.



Clean technology M&A totaled an estimated 197 transactions in 1Q 2010,
of which totals were disclosed for 55 transactions totaling $84 
billion. This was a record total, with two large joint venture deals
accounting for the bulk of the funding: India’s Airvoice Group and
Satluj Jal Vidyut Nigamset set up a $50 billion joint venture to build
renewable energy projects in India; and Shell Oil Company and Brazil’s
Cosan, a sugar and ethanol producer, set up a $21 billion Brazilian
biofuels joint venture.

Source: Clean Edge News