Reactive Technologies, a UK and Finland-based leader in grid stability measurements, announced a Series D funding round today. This £25 million funding round (US$31.4 million) was led by M&G’s Catalyst investment and UK and Ireland growth capital investor BGF and Breakthrough Energy Ventures.
This strategic funding will support Reactive’s global expansion initiatives and key hiring endeavors, advancing the realization of contracted projects worldwide.
With global renewable energy deployment accelerating, grid operators are grappling with challenges related to grid stability, such as diminishing inertia and system strength. Reactive Technologies addresses these challenges with its pioneering GridMetrix technology, empowering system operators to monitor power system stability in real time. This capability enables operators to reduce renewable curtailment, prevent blackouts, and optimize spending on balancing services.
The integration of renewables into power systems worldwide is driving a surge in demand for Reactive’s technology, including its Tradenergy software – designed to help short-term power traders navigate the complexities of a renewables-dominated landscape.
M&G’s investment is from Catalyst, a £5 billion purpose-led private assets strategy that invests in innovative companies addressing some of the world’s biggest environmental and social challenges. The funding will further accelerate Reactive’s mission to support key players in the global energy transition with real-time data that enables a net-zero future.
In the UK, Reactive’s GridMetrix service is estimated to save about 18 million tons of carbon dioxide annually for the UK power system (or approximately 5.5% of total annual UK carbon dioxide emissions). This metric is expected to rise significantly as more optimal measurement data enables National Grid ESO to operate safely with lower levels of stability, aligning with the pursuit of Net Zero. Globally, GridMetrix has the potential to mitigate 1,450 million tons of carbon dioxide annually.
Reactive Technologies also recently successfully entered the US market with a large-scale demonstration project in New York State in collaboration with multiple utilities. With additional projects on the horizon in the US, Asia, Europe, and the Middle East, Reactive is poised for substantial commercial growth and will actively increase its workforce to support these initiatives.
EKTA Partners acted as the exclusive financial advisor to Reactive Technologies on this transaction.
KEY QUOTES:
“This investment from M&G along with our existing investors, BGF and BEV, marks another significant milestone for Reactive Technologies. As we deliver more projects to support the global transition to Net Zero, this backing will empower us to deliver at scale, expand our commercial presence internationally, innovate further, and make a real contribution to a clean energy future.”
– Reactive Technologies’ CEO Marc Borrett
“Energy transition is a central theme to our strategy in Catalyst as we seek to invest in innovative solutions that drive environmental progress while delivering sustainable returns for investors. We are proud to back Reactive Technologies, which is fast becoming a British success story. Our investment will support the company’s international expansion, potentially transforming how grid systems operate worldwide to reduce unnecessary carbon emissions.”
– Zachary Webb, Head of EMEA Investments in Catalyst, M&G Investments
“The positive experience of our collaboration with Reactive Technologies has been transformative, showcasing the power of direct measurement innovation in advancing the energy transition. Collaboration with other power grids is paramount if we are to achieve Net Zero globally. We take pride in pioneering this Net-Zero-enabling technology with Reactive, which now offers a replicable model that can materially contribute to clean energy systems worldwide.”
– Julian Leslie, Head of Networks at National Grid ESO
