TSUN, a provider of solar microinverters, and energy storage solutions, raised over RMB150 million (~$21 million) in Series B funding led by IDG Capital, marking the second round of funding for TSUN in 2023.
The amount raised will primarily be allocated to the construction of automated production lines, expansion of production capacity, technological iteration of core products such as microinverters, and the development of the supply chain. Additionally, funds will be used to expand domestic and international business channels.
TSUN researches and develops microinverters and energy storage products with distribution channels in markets like Europe, South America, and Asia-Pacific.
The company said it plans to begin constructing its self-owned facility at the end of this year. The new facility, spanning 50,000 sq. meters, is expected to be operational by 2025 and will house multiple automated production and assembly lines. It is expected to result in a 500% increase in production capacity.
The company aims to iterate high-power microinverters by 2024, enhancing their application in industrial and commercial areas.
Cora Su, in charge of TSUN’s financing, stated that TSUN will adhere to a long-term strategy, leveraging the company’s leading advantages in technology research and development, integrated innovation, and industry resources. “We will enrich the product line, accelerate product iteration, establish competitive advantages, and upgrade the company’s intelligent core, empowering the green transformation of low-carbon energy.”
According to Mercom’s 9M and Q3 2023 Solar Funding and M&A Report, in 9M 2023, Venture Capital funding activity rose 4% YoY, with $5.7 billion in 51 deals compared to the $5.5 billion raised in 72 deals in 9M 2022. A total of 159 VC investors participated in solar funding in 9M 2023.
Recently, Omnidian, a provider of monitoring systems for residential and commercial solar assets, raised $25 million in an equity funding round, which saw participation from existing investors Activate Capital, WIND Ventures, Avista Development, Evergy Ventures, National Grid Partners, Congruent Ventures, Blue Bear Capital, and new investor HSBC Asset Management.