1Komma5° Raises €70 Million as Its I.P.O. Waits
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Instead of heading to the stock market, 1Komma5° is going back to its investors: The Hamburg-based energy unicorn has raised €70 million from existing and new backers. The newcomer is the Japanese clean tech fund Marunouchi Innovation Partners (MIP), which is expected to bring experience with energy investments in the United States. The company says it is valued at $1.35 billion (about €1.2 billion), the Börsen-Zeitung reported.
More Than €100 Million for Heartbeat AI
Most of the money is set to go into Heartbeat AI, 1Komma5°’s A.I.-based energy management system. The software controls rooftop solar panels, home batteries, heat pumps, air conditioners and wall boxes in households and connects them to the electricity market. Next year, the company plans to invest more than €100 million in the system. According to 1Komma5°, Heartbeat AI already pools more than one gigawatt of flexible capacity, with a target of 20 gigawatts by 2030. The software’s annualized revenue recently reached about €30 million, nearly double the previous year.
Policy is providing a tailwind. Germany’s planned phase-out of feed-in tariffs for rooftop solar is driving demand, and orders in Germany rose by almost 50 percent in September alone. “Heartbeat AI will now take over the role of the formerly fixed statutory remuneration in a free market,” Philipp Schröder, the chief executive and co-founder, said in September, when 1Komma5° released new business figures.
Targeting €700 Million in Revenue
For 2026, 1Komma5° expects revenue of about €700 million, an increase of 35 to 40 percent. The core hardware business is expected to generate operating EBITDA of about €40 million. The company employs about 3,000 people at more than 80 locations in seven countries and says it has installed more than 300,000 controllable energy systems. Since its founding in 2021, 1Komma5° has raised nearly €400 million in equity.
The U.S. market could be next. “We are considering entering the U.S. market,” Mr. Schröder said, adding that the company wants to see how much momentum there is and how much investor interest actually exists there. The new investor MIP is expected to help.
I.P.O. Plans on Hold
1Komma5° had hoped to be listed long ago. At the end of 2024, it raised €150 million in what was billed as its last funding round before an I.P.O. Last year, it then called off a planned Nasdaq listing, citing the U.S. government’s energy and trade policy. A new attempt depends on the company’s performance next year, Mr. Schröder said. The valuation has also barely moved: 1Komma5° was already valued at more than €1 billion in 2023. And in 2024, the company missed its revenue targets by about €200 million.
Some competitors are considerably larger. The Berlin-based rival Enpal expects revenue of more than €1.3 billion this year, an increase of 18 percent. The heat pump specialist Thermondo is targeting revenue of €275 million, up 30 percent from the previous year.
