No 8. February 2013

BuildingIQ Raises $9 Million in Venture Capital

BuildingIQ has won $9 million in backing from a consortium of three international venture capital firms to accelerate the rollout of its Building Energy Optimisation software for commercial buildings.

The investors are Aster Capital (which is backed by Schneider Electric, Alstom and Solvay), and the venture capital unit of Siemens Financial Services (SFS) and Paladin Capital Group.

The funding will be used to execute energy efficiency projects for a growing pipeline of commercial buildings in Australia and North America. "BuildingIQ is coming off of a spectacular year of growth in 2012 and we have a great pipeline of opportunities for the year ahead," said BuildingIQ chief executive, Michael Zimmerman.

The company's energy management platform automatically and continuously optimizes heating, ventilation and air conditioning in commercial buildings, and provides property owners and operators with energy savings and peak load reductions of up to 30 per cent.

The Predictive Energy Optimization solution can be deployed in days and can often provide payback in less than 12 months.

The company received high praise from its investors.

Todd Dauphinais, partner at Aster Capital, saying "We have a unique perspective on this market as a result of our strong Limited Partner relationship with one of the world's leading building management systems vendors, Schneider Electric. After evaluating a wide range of energy management offerings in the market, we quickly became convinced that BuildingIQ's technology, low cost and high return on investment profile provides commercial building owners and managers with a superior solution."

Dr Ralf Schnell, chief executive of SFS VC, said "We have a long history of investing in leading energy and technology companies, as well as a deep understanding of what it takes to succeed in these markets. We believe BuildingIQ's solutions and approach are a positive contribution to the industry's development."

A 2012 Pike Research report said BuildingIQ was "one of the leading vendors for Energy Management Systems in the smart buildings market today." The report also highlighted the value of partnerships that allow firms to focus on their capabilities. BuildingIQ's work with energy management leaders Schneider Electric and Siemens is a good example of this, said Eric Bloom, senior research analyst at Pike Research.

BuildingIQ is currently running large scale implementations and pilot programs with commercial enterprises, real estate investment trusts, institutional owners, property management firms and utilities in Australia and North America.

The company recently announced partnerships with building management system vendors Schneider Electric and Johnson Controls and an innovative energy optimization and demand response program with Nevada Energy for its large commercial and industrial customers.

BuildingIQ will scale up its sales and marketing team in the US to take advantage of these relationships and opportunity.

Ken Pentimonti, principal at Paladin Capital Group, said "We believe the company's offering will also help address the energy management goals of the US military and federal government, and we look forward to helping the company extend its presence in these segments."

Todd Dauphinais, Ken Pentimonti and Gerd Goette, investment partner at Siemens Venture Capital, will join BuildingIQ's board.

 

 

 



 





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