1Q Clean-Tech Venture Capital Investment Up 83% Vs '09 -Study

Venture capitalists invested $1.9 billion globally in renewable energy and other clean technology companies in the first quarter of 2010, up 83% over the same quarter last year, the Cleantech Group and Deloitte said Wednesday.

A total of 165 venture capital deals were completed in the first quarter, a new quarterly record, the firms said. The total amount raised was up 29% over the fourth quarter of 2009, they said.

Transportation companies booked the highest level of investment, with 27 deals done for a total of $704 million, according to Cleantech Group and Deloitte. California electric-vehicle equipment company Better Place snagged $350 million, the largest round, led by HSBC Holdings Plc (HBC) and including Morgan Stanley's (MS) Investment Management and Principal Investments units, Lazard Ltd.'s (LAZ) Asset Management unit, Israel Corp. Ltd. (IRLCF, ILCO.TV), VantagePoint Venture Partners, Ofer Hi-Tech Holdings and Maniv Energy Capital.

Solar power companies attracted the second-highest level of investment, bagging $322 million in 27 deals. The largest round yielded $41.4 million for Oregon crystalline silicon solar cell maker SpectraWatt, with Cogentrix Energy, Intel Capital and PCG Clean Energy & Technology Fund participating.

North America accounted for 81% of total clean-tech venture capital investment, a three-year high for the region, while Europe and Israel accounted for 14%, China for 4%, and India 1%.

In addition to the venture-capital investment, 13 clean-technology companies went public in the first quarter, raising a total of $1.5 billion, down from 18 IPOs in the fourth quarter of 2004 that totalled $2.9 billion. Eight of the first-quarter offerings were by Chinese companies and three were from North America. The largest clean-tech IPO in the quarter was held by Dutch sensor and control technology maker Sensata Technologies Holding NV (ST), which raised $569 million from its offering on the New York Stock Exchange, Cleantech Group and Deloitte said.

-By Cassandra Sweet, Dow Jones Newswires; 415-439-6468; [e-mail]