Investor Confidence in Cleantech Grows as North American Investments Reach New High of $1.26 Billion

ANN ARBOR, Mich. & TORONTO--(BUSINESS WIRE)--The Cleantech Network™ today issued its Q307 results for the cleantech investment category for North America and Europe. Investor momentum in clean technologies reached an all-time high as venture capitalists in North America and Europe invested a record $1.74 billion in the third quarter. This brings the year-to-date level of investment in cleantech to $3.64 billion, a 13% increase over the same period in 2006. Cleantech Network™ will discuss more details at today’s Cleantech Forum XIV in Toronto.

“The combination of a rapidly improving pipeline of venture grade deals, favorable public policy trends and growing consumer awareness of climate change continue to point to a positive outlook for the future growth of clean technologies”

North American VCs invested close to $1.3 billion, representing a 50% increase over Q207 and 36% increase over Q306. Venture capitalists in Europe invested $472 million representing a 206% increase over Q207 and 13% decrease from Q306.

The Energy Generation segment continues to lead other segments within the cleantech category with $1.2 billion invested in Q307. Of the $1.2 billion, $901 million was invested by North American VCs, a 106% increase over Q2 2007 and 52% increase over Q3 2006. European VCs invested $315 million, showing a 222% increase over Q2 and 31% decrease compared to Q306, which included the $395 million Airtricity deal. The two leading segments within Energy Generation, solar and biofuels, continue to climb. Solar investment reached $410 million in North America, a 16% increase over Q2, and $246 million in Europe compared to the $15 million invested in Q207. Biofuels companies raised $215 million in North America and $16 million in Europe.

Investments in Water & Wastewater showed promising upward trending with an increase of 146% over Q207 for clean water tech on the two continents.

This quarter also marks a new record for cleantech in Canada, with the country investing $109M. The total amount in Q307 for Canada was 85 percent higher than the entire first half of 2007.

“The combination of a rapidly improving pipeline of venture grade deals, favorable public policy trends and growing consumer awareness of climate change continue to point to a positive outlook for the future growth of clean technologies,” said Nicholas Parker, Chairman and Co-founder of the Cleantech Group™, parent company of the Cleantech Network™. “While investments in energy generation remain strong, we’re encouraged to see increasing interest in water and transportation technologies as pressures on fresh water supply and concern over CO2 emissions continues,” continued Mr. Parker.

About Cleantech Network^™, LLC

The Cleantech Network^™ LLC is a membership group that catalyzes investment, business opportunities and relationships driving the growth of cleantech globally. The Cleantech Network^™ popularized the term cleantech in 2002 and defined the category, providing investors, executives, government agencies and media accurate and consistent data dating from 1999. The network has over 8,000 cleantech investors and 9,500 companies worldwide that take advantage of the global Cleantech Forums^™, comprehensive market research services and reports, online proprietary deal flow, and an investor directory. In addition, the Cleantech Network™ provides information services, including the weekly newsletter Inside Cleantech™ and the quarterly Cleantech Investment Monitor™ report that tracks and analyzes all cleantech investments, M&As and IPOs in North America, Europe, China and Australia.