Energy Efficiency As A Service Company Budderfly Raises $55 Million

By Dan Anderson ● July 2, 2019
  • Budderfly has raised $55 million in growth equity and project debt funding to fuel its rapid expansion of successful energy as a service platform
  • This round of funding was led by Balance Point Capital with participation by Connecticut Innovations

Budderfly announced it raised $55 million in growth equity and project debt funding to fuel its rapid expansion of successful energy as a service platform. This round of funding was led by Balance Point Capital with participation by Connecticut Innovations. Shasta Partners LLC acted as the exclusive financial advisor to Budderfly on the transaction.

With this round of funding, Budderfly founder and CEO Al Subbloie, Budderfly senior management, the State of Connecticut (through the Department of Economic & Community Development) are going to scale customer project installations, accelerate Budderfly’s go-to-market efforts, and expand product growth.

“Successful energy management is a real problem for most organizations due to the complex and fragmented nature of the energy space. It is a daunting challenge for companies to navigate and implement energy efficiency measures with the many and complex energy savings solutions being offered by hundreds of vendors. We make it simple,” said Budderfly CEO Al Subbloie. “Our service combines accurate point of consumption measurement and controls with our energy efficient infrastructure upgrades, maintenance, expertise and monitoring to provide a one-stop, single vendor, energy management solution that delivers real savings to our customers.”

Combined with expected vendor partner financing, Budderfly is now fully positioned for implementing its industry-leading plan to manage more than $3 billion in customer energy spending over the next 10 years.

“Budderfly has taken a leadership role in the emerging energy efficiency market, leveraging its strength in software automation and IoT energy devices along with a proven management team and distinctive business model to deliver a leading-edge solution that is a great new option for many businesses and building owners,” added Balance Point Capital Managing Partner Seth Alvord. “We are very excited to partner with the Budderfly team and look forward to supporting the company’s growth as it continues its success in the high-potential energy management space.”

Budderfly is bringing an innovative approach to the emerging Energy Efficiency as a Service market with advanced software, patented energy Internet of Things (IoT) measurement, and control devices and numerous energy-saving facility components and upgrades.

“Energy management is complex and fragmented, and Budderfly solves companies’ energy challenges and achieves tangible cost savings. Budderfly has done a terrific job bringing their holistic energy management solution to market and accelerating growth. Their leadership and industry-changing technology make them a great fit in our enterprise software-as-a-service portfolio,” explained Edison Partners general partner and Budderfly board member Gary Golding.

Budderfly’s business model delivers an energy management solution that provides significant energy savings without a cost to the customer. And with nearly 1,000 locations across North America contracted to date, Budderfly has the scale and experience to serve all types of facilities from office buildings, retail stores, and restaurants to schools, recreational buildings, healthcare facilities and beyond.

“In today’s ever-evolving energy environment, companies need a new approach to reduce their energy consumption to gain competitive advantage and realize ecological benefits,” Subbloie pointed out. “Budderfly continues to deliver exciting results, empowering our customers to achieve real success in an era of heightened global emphasis on ‘Green’ policies to reduce climate change while simultaneously eliminating the significant expense of wasted energy consumption – all at no cost to them.”

Studies have shown than more than 30% of energy used in commercial buildings (or nearly $60 billion annually) is wasted since necessary investments are not being made in energy efficiency measures. And Budderfly’s business model removes the major impediments to taking action such as a lack of investment capital and confusion over practices due to the complexity of the options.