Investment opportunity: 1KOMMA5° expands its pre-Initial Public Offering financing
German Start-up 1KOMMA5° Extends Pre-IPO Funding Round, Aims for Renewable Energy Leadership
German home electrification start-up 1KOMMA5° is in a strong growth phase, having raised almost €400 million in equity and remaining debt-free to date. The company recently extended its €150 million pre-IPO financing round, which was initially closed in December 2024.
The extended funding round includes undisclosed investment from Sabanci Climate Ventures, the climate tech investment arm of Sabanci Group. This commitment underscores a continued dedication to 1KOMMA5°'s mission and growth plans in the renewable energy sector.
CEO and co-founder of 1KOMMA5°, Philipp Schröder, stated, "We are excited to have Sabanci Climate Ventures on board as a new shareholder. Their investment will help us accelerate growth and expand our impact on the transition to renewable energy."
A key part of 1KOMMA5°’s current focus and future plans is to invest over €100 million between 2025 and 2027, primarily to scale and enhance its energy management software platform Heartbeat AI. Heartbeat AI operates Europe's largest integrated virtual power plant (VPP) for private households, controlling over 500 megawatts of flexibility capacity.
Heartbeat AI’s virtual power plant enables millions of European and Australian homeowners to manage home electrification more efficiently by optimizing electricity procurement with AI-based automation. The platform aims to deliver the cheapest and cleanest electricity and to disrupt conventional utility models by becoming the primary energy service provider for consumers in the future.
Despite economic headwinds such as recession and lower demand for solar and heat pump hardware in 2024, 1KOMMA5° achieved record operational revenue and profitability (€520 million in 2024) while steadily growing its customer base to over 120,000. The upcoming IPO targeted for 2026 is expected to further support expansion with the ambition of reaching €10 billion in revenue by 2030, largely driven by software and AI-powered services through Heartbeat AI.
With a global workforce of nearly 2,500 and serving over 120,000 customers, 1KOMMA5° is advancing aggressively into software-driven home energy management. The company aims to enable millions of homeowners across Europe and Australia to switch from fossil fuels to the cheapest and cleanest electricity with its expanded resources. The additional capital will be used to accelerate organic growth and scale Heartbeat AI, 1KOMMA5°'s energy management software and virtual power plant (VPP).
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Lead Image: Philipp Schröder, CEO & Co-Founder of 1KOMMA5°
- To support 1KOMMA5°'s expansion and impact in the renewable energy sector, the extended pre-IPO funding round includes undisclosed investment from Sabanci Climate Ventures, highlighting the importance of technology and financing in the company's growth plans.
- As part of its future plans, 1KOMMA5° aims to invest over €100 million between 2025 and 2027, with a significant portion allocated to investing in technology, particularly scaling and enhancing its energy management software platform Heartbeat AI, which operates Europe's largest integrated virtual power plant for private households.
