Cleantech ‘angel network of networks’ goes global

Three leading investor groups launched a cleantech-focused angel network of networks to enable global deal collaboration and increase the number of early stage round in the sector.

Kuwait Petroleum Energy Ventures, the CalCEF Clean Energy Angel Fund, and Keiretsu Forum’s Cleantech Investment Committee signed a memorandum of understanding today to launch a strategic partnership in cleantech angel investing, dubbed Cleantech Angel Network-of-Networks.

The groups said the growth in cleantech investing in recent years has not been reflected in early-stage companies. Such a partnership could provide a central location and a “critical mass of much-needed early-stage funds,” the investors said.

“This is sovereign wealth and fossil-fuel wealth investing in things that can be seen as competition,” said John Bonanno, chairman of the cleantech investment committee of Keiretsu at the announcement in Redwood City, Calif.

Such angel network-of-networks already exist in sectors such as biotech, so this network could give early-stage cleantech companies “that same depth of experience and knowledge you see in some of the other sectors,” said Mark Nydam, managing director of PCG Asset Management.

The announcement comes at a time when the cleantech sector is seeing its lowest venture investment in two years (see Cleantech investment drops but stimulus funds soar in 1Q09).

“The cleantech venture business is somewhat in the doldrums,” said Dan Adler, president of CalCEF. “It’s a chance to press reset and create this network with global reach to invest in these innovative technologies.”