Total Corporate Funding for Solar Sector Totaled $18.7 Billion in 9M 2022

Over 51 GW of solar projects were acquired in the first nine months of the year

AUSTIN, Texas--(BUSINESS WIRE)--Mercom Capital Group, a global clean energy communications and consulting firm, released its report on funding and merger and acquisition (M&A) activity for the solar sector in the third quarter (Q3) and the first nine months (9M) of 2022.

Get the report: https://mercomcapital.com/product/9m-q3-2022-solar-funding-ma-report/

Total corporate funding (including venture capital funding, public market, and debt financing) in 9M 2022 stood at $18.7 billion, 18% lower compared to $22.8 billion raised in 9M 2021. The number of deals increased 17% year-over-year, with 131 in 9M 2022 compared to 112 in 9M 2021.

Chart: Solar Corporate funding 9M 2022

"Corporate funding in 9M 2022 is behind pace year-over-year, impacted by inflation and high-interest rates but is still ahead compared to the previous six years. There is renewed momentum after the passing of the Inflation Reduction Act. We have seen a resurgence in VC and private equity funding, breaking funding records since 2010. There is no longer any doubt about the growth potential of the solar industry - it is now a race to acquire the right technology and portfolios to scale," said Raj Prabhu, CEO of Mercom Capital Group.

In 9M 2022, VC funding rose to $5.5 billion in 72 deals.

The top VC deals in 9M 2022 were: $750 million raised by Intersect Power, $500 million raised by Longroad Energy, $375 million raised by Palmetto, $360 million by Gokin Solar, $350 million raised by Agilitas Energy, $260 million raised by Sun King.

Top Solar VC-funded Companies 9M 2022

Solar public market financing in 9M 2022 was 22% lower YoY, with $4.9 billion in 11 deals.

Announced solar debt financing in 9M 2022 was 42% lower totaling $8.3 billion in 48 deals.

In 9M 2022, eight securitization deals totaled $2.3 billion a 28% decrease.

In 9M 2022, there were 90 corporate solar M&A transactions compared to 80 in 9M 2021.

Chart: Top Solar M&A Transactions 9M 2022

In 9M 2022, 207 solar projects were acquired for 52 GW.

Chart: Solar Project Acquirers in 9M 2022

Project Developers and Independent Power Producers were the most active acquirers of solar projects in Q3 2022, with 10.8 GW.

227 companies and investors are covered in this 100-page report.

Get the report: https://mercomcapital.com/product/9m-q3-2022-solar-funding-ma-report/

About Mercom Capital Group

Mercom Capital Group is a global communications and consulting firm focused on clean energy. Mercom produces funding and market intelligence reports covering Solar and Battery Storage/Smart Grid/Efficiency. Mercom advises cleantech companies on new market entry, custom market intelligence, and strategic decision-making. https://www.mercomcapital.com.