Energy storage company Cymbet secures $31m in private financing

25 January 2010

Solid-state energy storage company Cymbet Corporation has successfully completed the final phase of its third round of private equity financing, raising $31m. The company will use proceeds from this financing round to expand EnerChip sales and marketing initiatives globally, as well as add manufacturing capacity for its eco-friendly, EnerChip solid-state energy storage devices in response to rising customer demand.

The financing round was co-led by Perseus, a Washington DC-based private equity fund manager and California-based firm Intel Capital. Also participating in the round are new investor Texas Instruments and existing investors Bekaert, Helmet Capital, Cedar Point Capital, The Dow Chemical Company and The Ignite Group.

Steve Eichenlaub, managing director for the cleantech sector at Intel Capital said, ‘Intel Capital is committed to accelerating innovation through selective strategic investments in companies like Cymbet. Eco-friendly power sources for hand-held and mobile platforms, as well as in emerging areas like sensor networks for energy-efficiency monitoring in and around the smart grid, are areas of strong potential growth. We believe that Cymbet is on the right track.’

Cymbet said its team has moved its technology past the development stage and into commercialisation and that a portion of the proceeds will be used to substantially increase its manufacturing capacity. The company said the device is the world’s first solid-state energy device with integrated energy management, enabling zero power wireless sensor networks.

‘The fact that we were able to secure funding in today’s challenging financial environment reflects our investors’ belief in Cymbet and the exciting sales growth prospects for the EnerChip product family,’ said Bill Priesmeyer, CEO of Cymbet. ‘In addition to being eco-friendly, an EnerChip lasts the life of the product it serves and replaces conventional disposable batteries. EnerChip micro-storage devices are designed into many applications including: industrial controls, consumer electronics, hand-held wireless devices, and medical, military and energy-efficient intelligent building systems.’

The lead-free solid-state EnerChip is designed to eliminate battery replacement, last the life of the device it powers and supply the energy storage to build self-contained, long-lived powered systems, said Cymbet.

Ken Socha, senior managing director of Perseus, said, ‘We’re committed to investing in companies with a clear vision, a technical leadership position and large target markets in the alternative energy sector. Cymbet fits these criteria as an acknowledged leader in its field with one of the most innovative and advanced energy storage devices in the marketplace. We see significant potential for back-up power and energy-harvesting products, particularly as they can contribute to the US national priority of energy efficiency and CO2 reduction.’

With $1.5bn under management, Perseus is a merchant bank and private equity fund management company headquartered in Washington, DC, with an office in New York City, which manages seven private equity funds and has invested in numerous growth equity, distressed and buyout transactions in the US, Canada, and Western Europe.

Intel Capital, Intel’s global investment organisation, makes equity investments in technology start-ups and companies worldwide. Since 1991, the firm has invested more than $9.5bn in over 1,050 companies in 47 countries.

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Tags: energy storage

This story was published on Monday, January 25th, 2010 at 6:13 pm and is filed under North America, deals, energy storage. You can follow any responses to article entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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