Investment organization Klima fund has spearheaded a €23 million fundraising endeavor for Dexter Energy.
In a significant move for the renewable energy sector, Dutch climate tech firm Dexter Energy has raised €23 million in a funding round led by Klima, an energy transition fund. The investment will enable Dexter Energy to grow its solutions for battery trading optimization, initially in the Netherlands and then across key European markets.
Klima, an energy transition fund backed by Spanish investment bank Alantra, typically invests between €8m to €12m in each company. The fund, which has a €210m war chest, aims to build a portfolio of twelve portfolio companies. Other investors in the funding round include Mirova, ETF Partners, Newion, and PDENH.
Dexter Energy's AI-driven trading platform is designed to help energy companies navigate the complexities of volatile European electricity markets. The software uses machine learning to analyze a wide range of data sources, including weather models and market data, to forecast prices and optimize trading strategies. This enables renewable energy producers to respond effectively to rapid price swings in European power markets.
One of the key benefits of Dexter Energy's AI solutions is the potential to increase wholesale market revenues by up to 30% for renewable energy producers. This is achieved by better balancing supply and demand and optimizing asset utilization such as solar, wind, and battery storage.
The platform also plays a crucial role in balancing the electricity grid and reducing balancing costs. By automating trade and leveraging flexibility options—such as temporarily curtailing production or managing storage—the software contributes to grid stability and lowers the costs associated with maintaining grid balance.
As renewables are expected to constitute about 70% of European electricity by 2030, Dexter’s AI tools will be instrumental in helping producers navigate this complex, fast-evolving landscape where traditional subsidies are declining. The approach accounts for intricate dependencies such as weather, resource availability, grid constraints, and price fluctuations, combining them through AI to unlock value in renewable energy assets.
Mirova, an affiliate of Natixis Investment Managers, is a global asset management company dedicated to sustainable investing. With €32bn in assets under management as of the end of March, Mirova's investment in Dexter creates synergies with its existing infrastructure portfolio.
Dexter Energy currently works with over 80 energy companies, including Centrica Energy, Pure Energie, and Luminus. Luuk Veeken, CEO and founder of Dexter Energy, believes AI is now essential infrastructure for an electricity grid powered by renewables and storage.
With the new funding, Dexter Energy plans to use the funds to expand its battery trading solutions for wind and solar across Europe. The investment period for Klima is five years, and this marks the ninth investment for the fund.
The commitment to Dexter Energy is a testament to the growing importance of AI in the renewable energy sector and the potential for advanced technology to address challenges related to market volatility, weather unpredictability, and the diminishing availability of traditional subsidies.
- Klima, an energy transition fund backed by Spanish investment bank Alantra, has led a €23 million funding round for Dutch climate tech firm Dexter Energy.
- Typically, Klima invests between €8m to €12m in each company, and aims to build a portfolio of twelve portfolio companies with a €210m war chest.
- Dexter Energy's AI-driven trading platform is designed to help energy companies navigate volatile European electricity markets.
- The software uses machine learning to analyze a wide range of data sources, including weather models and market data, to forecast prices and optimize trading strategies.
- One of the key benefits of Dexter Energy's AI solutions is the potential to increase wholesale market revenues by up to 30% for renewable energy producers.
- As renewables are expected to constitute about 70% of European electricity by 2030, Dexter’s AI tools will be instrumental in helping producers navigate this complex, fast-evolving landscape.
- Mirova, an affiliate of Natixis Investment Managers, invested in Dexter Energy, creating synergies with its existing infrastructure portfolio, which had €32bn in assets under management as of the end of March.
