Eocycle Technologies receives $25M in financing to bring its cleantech to the U.S. and Europe
by CM Staff
The company manufactures 25 kW and 90 kW wind turbines designed for on-site production of clean electricity at rates significantly lower than utilities can provide.
MONTREAL — Eocycle Technologies, a manufacturer of ‘distributed’ wind turbines, announces it has received $25 million in financing to expand its operations in key markets throughout the US Midwest and Great Plains, as well as in Europe. The deal was led by Export Development Canada, and also backed by the Fonds de Solidarité FTQ, which each invested $10 million. This investment has been complemented by a $5 million loan from Investissement Québec.
The company manufactures 25 kW and 90 kW wind turbines designed for on-site production of clean electricity at rates significantly lower than utilities can provide. This model is ideal for farms, or commercial and industrial facilities looking to cut their energy costs and meet emissions targets. The term ‘distributed wind’ indicates that the turbines are connected to the power-grid, meaning any excess power they generate will be sold into the grid, ensuring no power is wasted, and optimizing the user’s revenue and savings. These small turbines are designed primarily for rural areas, and provide a surprising amount of electricity relative to their size.
“Global energy production continues to pivot towards renewables not only because of strict regulations to cut emissions, but also because products like Eocycle’s wind turbines can save customers significant cost on their energy bill. Just one of these devices could cut energy costs by over $1 million over the life of the turbine” said Richard Legault, President & CEO of Eocycle Technologies. “Now, these visionary investors have seen the business case for our products as well, and decided to provide the financing necessary to accelerate our expansion in the American and European markets, where the combined total market potential is estimated to be $200 billion.”
The financing will be used to increase staff by more than 50%, bringing on new people in sales, production and customer service, as well as ongoing R&D to further optimize financial returns for users. Eocycle hopes this will increase sales, and cut the time it takes to deliver operational turbines to customers from Minnesota to Belgium and from Scotland to Colorado.
“EDC is thrilled to support Eocycle and help the company achieve its global growth aspirations,” said Julie Pottier, Senior Vice President, Small Business and Partnerships and Head of Insurance. “EDC understands the importance of supporting the development of renewable energy solutions. Eocycle’s wind turbine technology will play a key role in the global transition to a low carbon economy. The capital raised will aid the company in its scale-up efforts and help it execute on the global demand for its innovative clean technology.”
“A just environmental transition also means exporting Eocycle’s Québec-based know-how and products to Europe and the United States. The Fonds is proud to support quality jobs and the growth of a Québec company having a direct impact on renewable energy offered worldwide’’ added Christian G. Brosseau, Vice President, Private Equity and Impact Investing, Structuring Capital, Energy and Environment at Fonds de solidarité FTQ.
