What happens when a chemical engineer who previously developed hydrogen-powered drones becomes a venture capitalist? Energy Revolution Ventures, that's it. The company has now closed an $18 million seed and Series A fund to invest in deep technologies such as energy storage, carbon capture, and, of course, hydrogen technology.
Marcus Clover, co-founder and partner at ERV, told TechCrunch: I ended up being hired as the first employee at an aerospace startup. We were building hydrogen-powered drones for communications applications. ”
After doing that for five years, he joined another company that puts hydrogen fuel cells into heavy-duty vehicles. I realized that I had to approach it from an investment perspective. At that time, I teamed up with two partners. ”
The 2023 vintage fund includes family office LPs in the metals and energy sector, high net worth individuals, and Bidra Innovation Ventures, the corporate venture capital arm of Morocco's OCP Group. ERV already has a portfolio of nine companies, including Green Li-ion (lithium-ion battery recycling), Anthro (structural and safe batteries), and Oort Energy (low-cost renewable H₂).
ERV has both a fund and a venture builder called Prosemino. The idea is that the fund can invest in independent startups as well as launch new ventures based on in-house technical expertise. We draw on a network of advisors across the University of Oxford and the University of London. We have also built several specialized laboratories to support start-ups.
“We have 4,000 square feet of wet chemistry and dry lab space here in London. We believe this is the only lab of its kind outside of Europe that is not affiliated with a university,” Clover said. Ta.
ERV's strategy is based on the idea that many innovations are about to occur in chemistry, especially in the energy sector.
“When I was doing hydrogen research in 2015-2016, long before the latest hydrogen hype cycle happened, the most advanced technology was in space. I was trying to reuse it to make this work. That's why we can learn a lot about how to redesign things from basic principles and how to operate with a small team on a tight budget, which is why a lot of what we're investing in now. I can empathize with businesses,” Clover said.
He added that the company's advocacy is not just about decarbonization, but also about electrification. We need to store power, send it where it's needed, electrify large parts of our economy… We're literally rewiring our economy, and that requires a huge amount of technology. We've seen how software has made space rocket launches cheaper and better. I believe the same thing happens with energy, and that's the really exciting part of this story. ”
TechCrunch previously covered two of the portfolio companies in ERV's portfolio. Anthro Energy has raised a $7.2 million seed round led in part by ERV. Divigas, which was also featured on TechCrunch, is also included in the portfolio.
He said that while some investors are focused on decarbonisation, growth from electrification is “even more exciting from a market perspective”.
To date, ERV Fund 1 has made nine investments including:
Blixt – Developer of software-enabled power electronics. The startup has been selected to participate in NATO's North Atlantic Defense Innovation Accelerator (DIANA) program.
Ecolectro – an innovator of new polymers designed for the next generation of electrolysers in the hydrogen industry.
Immaterial – Creator of inexpensive and durable metal-organic frameworks (MOFs) designed for carbon capture, gas separation, and purification.