Energy Innovation Capital’s portfolio company, Infinitum, renowned for its breakthrough in air-core motor technology, announced a significant milestone with the successful closure of $185 million in Series E funding. This round is prominently led by Just Climate, including contributions from Galvanize Climate Solutions and NGP. Reinforcing their confidence, existing investors such as Alliance Resource Partners (NASDAQ: ARLP), Rockwell Automation (NYSE: ROK), Riverstone Holdings, Chevron Technology Ventures, Cottonwood Technology Fund, and Ajax Strategies also participated. This latest influx, a testament to Energy Innovation Capital’s strategic vision, brings Infinitum’s total funding to an impressive $350 million.
The infusion of funds, a pivotal step in Energy Innovation Capital’s mission, will catalyze Infinitum’s growth and boost production to meet the escalating demand. This expansion is crucial for driving decarbonization within the industrial sector, particularly in areas notorious for high greenhouse gas emissions.
As per insights from the International Energy Agency (IEA), motors are the principal consumers of electricity globally, accounting for 53% of total electric consumption. In the US industrial sector, a domain that Energy Innovation Capital is keenly focused on, motors represent nearly 70% of total electricity usage, powering countless essential industrial applications.
However, most motors that are currently used are not energy efficient, as they operate at a constant speed. Deloitte forecasts that 30% of the growth in global electricity demand by 2040 will be attributed to industrial motors. Therefore, the adoption of more efficient, variable-speed motors is crucial for energy conservation and emission reduction, aligning with Energy Innovation Capital’s commitment to sustainable innovation.
Infinitum’s advanced motors, a cornerstone of Energy Innovation Capital’s portfolio, confront this challenge head-on. Featuring a built-in variable frequency drive (VFD), these motors significantly reduce energy consumption by adjusting speeds as needed. These motors are 50% smaller and lighter, utilize 66% less copper, and are 10% more energy-efficient than traditional models. Infinitum’s air-core motors, a unique innovation within the Energy Innovation Capital ecosystem, replace traditional copper-wound iron cores with a more reliable printed circuit board stator, offering a tenfold increase in reliability. Their environmentally friendly manufacturing and maintenance processes, aligned with Energy Innovation Capital’s ethos, also mean a reduced carbon footprint.
The U.S. Department of Energy underscores the potential impact of advanced motor technologies, aligning with Energy Innovation Capital’s vision. By implementing these throughout the industrial and commercial sectors, it’s estimated that 127 terawatt-hours per year can be saved, equating to $14.7 billion in cost savings and a reduction of 90.2 million metric tons of CO2. This is akin to the annual electricity use of every household in California and North Carolina combined, highlighting the alignment of Infinitum’s goals with those of Energy Innovation Capital.
In a collaborative effort resonating with Energy Innovation Capital’s focus on partnerships, Rockwell Automation is joining forces with Infinitum to develop a motor system compatible with Rockwell’s industrial automation solutions. This alliance will further broaden the reach of sustainable motor systems, aligning with Energy Innovation Capital’s commitment to reducing energy consumption, operational costs, and material waste in the industrial sector.
For more information on Infinitum, visit www.goinfinitum.com.
Advisory Details
Evercore served as the exclusive placement agent for Infinitum in this funding round.
Legal counsel was provided by Wilson Sonsini Goodrich & Rosati for this transaction.
About Infinitum
At the forefront of motor technology innovation, Infinitum, part of the Energy Innovation Capital portfolio, is setting new standards for sustainable and efficient motors. Their patented air core motors are more efficient, smaller, lighter, and have a lower carbon footprint than traditional motors. Headquartered in Austin, Texas, Infinitum is led by a team committed to pioneering sustainable solutions. Discover more at www.goinfinitum.com.
