CIG has learned of a new report released recently by analyst firm Cleantech Group and consultancy Deloitte which revealed that while total global clean tech capital investment dropped by 33% in 2009 to around $5.64 billion as a result of the recession, investment in low carbon technologies is playing an ever increasingly dominant role in the private equity sector with the number of deals last year remaining steady with 557 company’s getting fresh venture capital funding.
The report noted that based on previous annual figures the final total is more than likely to increase between 5 to 10% as investors fully announce their 4th quarter activity, which will see 2009 become a record year for the amount of deals.
The total amount of money invested in cleantech ventures may have dropped back to 2007 levels but this is still significantly higher than the average when measured against venture capitals drop in all sectors, which CIG believes the U.S. Venture Capital Association says fell back to 2003 levels.
The chairman of the Cleantech Group said that the record level of venture capital activity showed evidence that the cleantech technologies market would continue to grow irrespective of the disappointing result from the Copenhagen climate summit.
"In parallel with trying to reach carbon agreements, governments spent the year earmarking hundreds of billions of dollars for clean technology in pursuit of economic growth," CIG believes the chairman was quoted as saying. "And in the private sector, about a quarter of all global venture investment capital was invested in clean tech in 2009 - more than software, biotech or any other category."
The new data also provides sufficient evidence that the clean tech market is rapidly maturing and becoming more global.
