Texas, United States [RenewableEnergyWorld.com] Venture capital (VC) investment in greentech looked a lot healthier in the third quarter of 2009 compared to the previous two quarters of this year according to a report by Greentech Media Research.
The third quarter closed with US $1.9 billion invested in 112 deals compared to $1.2 billion invested in 85 deals in Q2 and $836 million invested in 59 deals in Q1. The dominant investment sector was solar with $576 million invested in 29 deals. Following solar was biofuels with $513 million invested in 17 deals and smart grid with $160 million invested in 14 deals.
Year to date the total venture capital investment in greentech stands at $3.9 billion and is already the second best year for greentech VC investing behind 2008. In 2008 total greentech VC investment was $7.6 billion and 2007 was $3.5 billion.
A huge factor boosting the third quarter greentech VC investment is the money flowing into clean energy projects from the American Recovery and Reinvestment Act. More than $1 billion has been awarded so far this quarter.