This week’s Current Climate, which every Saturday brings you the latest news about the business of sustainability.
This week’s Current Climate, which every Saturday brings you the latest news about the business of sustainability. Sign up to get it in your inbox every week. Venture capital firms funneled $9 billion into 273 climate tech startups in the first quarter of this year, according to an analysis released by PitchBook this week. That was $2.2 billion less than the $11.2 billion invested per quarter, on average, in 2021. This was not unexpected, given the first few months of this year saw the start of Russia’s war in Ukraine, and continued market volatility, rising inflation and recession fears mean we could see further declines in the second quarter. But beyond then, investment could pick up. “In the long term, the attack on Ukraine and resulting calls for energy independence in Europe are likely to accelerate climate tech investment, namely hydrogen, solar, batteries, nuclear, and wind,” the PitchBook report says. Another tailwind: the rule the Securities and Exchange Commission proposed in March to require publicly-traded companies to disclose certain climate-related risks, including greenhouse gas emissions. More than $2.5 billion in the first quarter went to food systems startups, meaning companies developing alternative proteins, indoor and alternative farming methods and other agtech products. The biggest deal was a $400 million Series E round for indoor vertical farming company Plenty led by One Madison Group and JS Capital, with participation from Walmart and SoftBank Vision Fund 1. Other deals included a $387 million Series C for cultured meat startup UPSIDE Foods, a $136 million Series B for plant-based meat-alternative startup Redefine Meat and a $130 million Series B for cow-less dairy startup Remilk. Yellowstone National Park is closed due to flooding and mudslides that have taken out roads and bridges, and it’s possible northern sections of the park will remain closed for the entire season.
