Climate Tech Startup Arcadia Raises $200 Million Led by JPMorgan
Climate tech startup Arcadia announced today that is has raised $200 million in a new funding round aimed at financing the expansion of the company’s energy data platform, Arc.
The financing round was led by J.P. Morgan Asset Management’s recently formed Sustainable Growth Equity Team, marking the team’s first investment. JPMorgan launched the team earlier this year, with an initial investment of $150 million, to invest in growth-stage private companies that drive resource efficiency and climate adaptation solutions across a range of industries.
Osei Van Horne, Co-Managing Partner, J.P. Morgan Sustainable Growth Equity, said:
“Arcadia is an exceptional first example of Sustainable Growth Equity’s mandate to invest in climate technologies that deliver measurable solutions to the industries that produce the greatest greenhouse gas emissions. We look forward to being a value-added partner to Arcadia, as they leverage J.P. Morgan’s in-house sustainability resources, global client network, and robust data intelligence capabilities.”
Founded in 2014, Arcadia provides companies with access to energy data and renewable energy sources from utilities, enabling users to find the least carbon-intensive, lowest-cost energy, using real-time data analysis and automation. The company’s technology, for example, could help users time their electric vehicle charging to when the grid is cleanest. Arcadia launched Arc in November, and the platform is currently being used by companies including Ford, EnelX, Aurora Solar, and STEM. Arcadia also manages a community solar program with more than 700MW of solar under management.
Kiran Bhatraju, CEO of Arcadia, said:
“The products being built on the Arc platform in just a short amount of time — by large incumbents and new startups — prove that companies have been starved of the tools they need to build innovative energy solutions. Building a platform that works across verticals instead of offering point solutions will unlock exponential growth and impact.”
According to Arcadia, the proceeds from the new financing will be used to broaden Arc’s data coverage to include commercial utility data, and to expand to new use cases, helping companies reach their sustainability goals.
Tanya Barnes, Co-Managing Partner, J.P. Morgan Sustainable Growth Equity, said:
“Arcadia is pursuing one of the largest software opportunities in the clean energy transition. The company’s technology platform plays a vital role in decarbonizing real estate, the grid and providing renewable energy access to underserved communities.”