Birmingham-based Grid Edge has secured £200,000 from Ignite, an energy focused investment fund run by British Gas owner Centrica.
The company, co-founded by former Aston University lecturers Tom Anderson, Jim Scott and Dan Wright, has created a cloud-based energy management software which leverages AI to forecast a building’s energy requirements in a bid to optimise its consumption.
Grid Edge says it is able to cut energy use in buildings by up to 25% and will use the funds to expand its team.
“This investment is a game changer for us. We can now focus on accelerating our product development and establishing a real footprint in the commercial market,” said Anderson.
“Our ambition is to be in more than 500 large-scale buildings within five years,” he added.
Founded in 2014, Ignite is looking to provide £10m in funding over the next decade and typically invests between £50,0000 and £2m per deal.
UK startup Temporall announces £1m seed funding
Sam Salisbury, investment principal at the fund, commented on the decision to back the company: “We believe Grid Edge is a fantastic example of an enterprise that could truly benefit society which is the key reason why we’re backing the team.
“The technology could have huge potential for the commercial and public sector and we’re particularly excited about the opportunity it offers housing associations and local authorities, helping them to cut carbon emissions, reach energy efficiency targets and create warmer, healthier places for tenants to live.”
Ignite has so far supported more than 25 enterprises.
For the latest investment deals in UK tech, check out UKTN’s investment tracker.