Energy X raises $20 million in $120 million valuation to reduce construction sector emissions

Energy X raises  million in 0 million valuation to reduce construction sector emissions

Countries around the world have committed to reduce their energy consumption by 2050 and meet their net zero energy targets. To do this, they must find smart ways to decarbonise particularly polluting businesses, including the construction industry. The quest to renew the built environment has led to many overlapping policies and acronyms, including Net Zero Energy Buildings (BENG) and Zero Emission Buildings (ZEB).

A ZEB regulation for all new buildings is expected to come into force in the EU in January 2030. In addition, the U.S. Department of Energy has announced that it will retrofit new federal buildings over 5,000 square feet by 2030. South Korea is also taking steps to reduce emissions in the construction sector through building renovation and enforcing ZEB requirements for new construction by 2030.

Buildings are an important source of air, water and noise nuisance. The entire process of the built environment – ​​including material manufacturing, construction, heat and power, maintenance and demolition – generates about 40% of global greenhouse gas emissions. High environmental costs and looming deadlines inspired Energy X, a Seoul-based startup and marketplace that “enables zero-energy building,” from architectural design to completion.

Energy X was founded in 2019 by co-CEOs Sean Park and Tom Hong. It was then that the duo left their first startup: a crowdfunding platform for sustainable architecture called Xquare.

The team is already working with a large number of clients, including large conglomerates looking to renovate their buildings in South Korea, such as Hyundai, Naver and Lotte, Park told TechCrunch. Energy X users include building owners, contractors and architects.

Since its inception in 2019, the startup says it has closed 573 deals with construction costs estimated at 1.6 trillion won (US$1.3 billion) for sustainable architecture, such as zero-energy buildings and LEED (Leadership Leadership) certification. current). and environmental design) buildings. Some projects are still underway, while others have been completed, Park said.

There are many other hardware stores on stage. Procore, a construction engineering unicorn, went public in 2021 and Aconex, an Australian-based construction platform, was acquired by Oracle in 2017 for $1.2 billion. Energy X’s competitors include Enpal, which raised $174 million from its $1.1 billion C-Series in 2021 and Uplight, which raised undisclosed funding worth $1.5 billion in 2021, Park said.

In addition to managing a market for the development of energy-efficient buildings, Energy X is also working on energy conservation and solar technology, including BIPV (Building Integrated Photovoltaic) for power generation, HVAC (Heating, Ventilation and Air Conditioning) for energy conservation, and BEMS (Building Energy Management Systems). ) for this energy management, Park explains. More than half of Energy X’s employees are focused on energy technologies for the R&D team, Park added.

“Most building owners are not experts in building management and don’t know how to handle it because building energy management systems (BEMS) are software-based,” said Park. In addition to the market, “Energy X offers a cloud-based BEMS, where our AI manages, maintains and optimizes the system at all times, without the need to monitor it to manage or control it directly,” said Park.

The Seoul-based startup has secured $20.3 million in Series B funding worth $120 million, Park told TechCrunch.

The new round, led by Shinhan Asset Management, brings the startup’s total funding to about $31.5 million. The funds will help Energy X expand its market and energy efficiency technology, grow its workforce from 86 to 114 this year and launch in Japan, Park said. The startup will open an office in Japan in February, Park added.

Source: La Neta Neta