Climate X Secures £4.1M Seed Funding to Drive Climate Risk Analytics Innovation
March 22, 2022
Climate X, a London-based climate risk analytics provider, recently secured a substantial £4.1M (€5M/$5.4M) in seed funding, signalling a significant step forward in addressing the pressing challenges posed by climate change. This funding round, led by CommerzVentures and A/O PropTech, with notable participation from various investors including Voyagers Climate Tech Fund, Blue Impact Ventures, Deloitte LLP, and distinguished angel investors, marks a pivotal moment for Climate X in its mission to tackle climate-related risks.
Paul Morgenthaler, Managing Partner at CommerzVentures, emphasised Climate X's pivotal role in addressing the multi-trillion-dollar problem of climate change for the financial industry. He highlighted the company's ability to provide essential insights into climate change-related risks for global real estate, enabling decision-makers to prioritize climate mitigation and resilience strategies effectively.
Gregory Dewerpe, founder of A/O PropTech, echoed the sentiment, emphasiisng the urgent need to accurately quantify exposure to climate risk due to its economic, statutory, and moral implications. He underscored Climate X's platform as a crucial tool for various industries, enabling them to understand, assess, predict, and report the exposure of their physical assets to ecological challenges.
Climate X's successful seed funding round builds upon its earlier achievements, including a £1.1M (€1.3M/$1.5M) pre-seed round led by Pale Blue Dot. With follow-on funding from key investors and a total funding amount surpassing £5.2M (€6.3M/$6.9M), Climate X is well-positioned to advance its innovative climate risk data analytics platform further.
The urgency to address climate change-related risks is underscored by projections indicating potential costs of up to $23 trillion to the global economy by 2050, with disproportionate impacts on marginalised communities. Regulatory initiatives, such as mandatory climate-related financial disclosures by governments like the UK and proposals by regulatory bodies like the U.S. Securities Exchange Commission, further highlight the importance of quantifying exposure to climate risks.
Climate X's platform offers a comprehensive solution to this complex challenge, empowering organisations to project asset-level climate risks and financial impacts decades in advance. By leveraging advanced analytics, Climate X provides actionable insights that enable businesses to proactively plan and invest in climate resilience strategies, thereby reducing future losses and contributing to sustainable development.
The recent seed funding infusion will enable Climate X to accelerate the delivery of its climate risk data analytics platform to the global market, meeting the growing demand from customers across various industries. With a robust product offering and support from leading investors, Climate X is poised to make a meaningful impact in addressing climate change and building a more resilient future.
In conclusion, Climate X's successful seed funding round represents a significant milestone in the fight against climate change. With strong investor backing and a pioneering platform, Climate X is well-equipped to drive positive change by helping organisations navigate and mitigate the risks posed by climate change, ultimately fostering a more sustainable and resilient global economy.