FION Energy, a Berlin-based company that installs and operates smart battery systems for industrial companies, has closed a €1.4 million (~$1.6 million) pre-seed funding round.
The funding round was led by HTGF and Norrsken Evolve, with participation from experienced business angels.
The company states that the European industry faces electricity prices up to 50% higher than those in the U.S. or China, driven by volatile renewable generation and limited flexibility on the consumption side.
To address this issue, the company offers an end-to-end solution, from site analysis and system sizing to procurement and installation of a turnkey battery system, all the way through to ongoing operations. Its proprietary AI-driven dispatch software analyzes customer consumption patterns, interprets tariffs and market prices, and autonomously manages battery operations. This helps to smooth load peaks, reduce grid charges, and enable price arbitrage.
According to the company, its target customers are industrial companies with annual electricity consumption exceeding 2 GWh.
The funding will be used to accelerate roll-out and further develop the platform, and to expand the team.
Rebecka Löthman Rydå, Partner at Norrsken Evolve: “We invested in FION Energy because their team combines deep energy-market expertise with a clear vision: making Europe’s industry greener and more competitive. Their battery and flexibility solutions reduce CO₂ and give industrial companies clear advantages in both cost and security of supply.”
According to Mercom’s 9M and Q3 2025 Funding and M&A for Energy Storage report, VC funding in the sector totaled $2.8 billion across 56 deals, a 4% YoY increase from $2.7 billion across 61 deals in 9M 2024.
In March, Capalo AI, a provider of battery energy storage-based virtual power plant solutions, secured €3.8 million (~$4 million) in a seed funding round led by VentureFriends and PROfounders, with participation from existing investors Inventure and Innovestor. The funding was to be used to accelerate its European expansion and grow its client portfolio.
