CFEX, a company specializing in automated contract settlement technology for the energy sector, has secured a new round of investment. The funding round was led by Mobilize Energy Capital, a prominent energy technology fund, with additional participation from AI-focused venture fund TSV Capital and existing investor Accurant International.
The majority of energy transactions, whether for renewable or non-renewable sources, are conducted at the wholesale level through complex bilateral contracts. The settlement of these contracts is almost always a manual process due to the intricate and varied terms involved. Recognizing this industry-wide challenge, CFEX has developed the first technology of its kind to automate these complex transactions, offering a much-needed solution to a widespread inefficiency.
At the heart of CFEX’s technology is its Contract Rule Engine. This engine can convert a wide range of energy contracts, regardless of complexity, into precise, settlement-grade software models. This capability enables both buyers and sellers to not only settle transactions automatically and accurately at the end of each month but also to track their financial positions on a daily basis. This real-time visibility into who owes what to whom provides a new level of transparency and control.
By automating a historically manual and complex process, CFEX’s technology offers significant benefits to the energy market. It enhances accuracy and precision in settlements, reduces the labor and time involved in manual reconciliation, and provides parties with a clear, daily financial outlook. This new investment will enable CFEX to bring this game-changing technology to a broader market, helping to modernize and optimize the management of energy contracts.
How the funding will be used: This funding will be used to accelerate the market launch of CFEX’s innovative technology, which is designed to streamline and automate the settlement of bilateral energy contracts for both buyers and sellers.
KEY QUOTES:
“We are excited to announce the new investment and appreciate the support from our current and new investors. This investment comes at a time when the industry is gearing up to meet the surging demand for energy, driven by electrification and AI workloads. Having been validated by some of the world’s largest energy buyers and sellers through commercial contracts and pilot projects, we are ready to bring the technology to the market.”
Jian Zhang, Founder and CEO of CFEX
“With AI data centers’ insatiable demand for energy, PPA contracts are increasingly becoming the tool of choice to build an all-of-the-above energy supply portfolio, in front and behind the meter. As a former energy project developer, we saw firsthand the challenges of operating these contractual relationships and the value of CFEX’s technology.”
George Manahilov, Mobilize’s Managing Partner
“Energy fuels the AI revolution. At TSV Capital, we invest across the AI value chain. CFEX provides a critical transaction technology to deliver energy to AI data centers.”
Eugene Zhang, Founding Partner at TSV Capital
