Smart Grid - Solutions to Utilities allowing Smart Grid application deployments (smart metering, load management, line loss reduction, etc)

Gary Crates Thu, 2010-09-02 01:40

Gary Crates · Thu, 09/02/2010 - 00:40

Business

Business Overview: 

Amperion Greece SA is a Smart Grid company. It designs and manufactures its own technology which enables the transmission of high speed data over electrical wires. It addresses the global Smart Grid market using its own patented technology. In 2009 Amperion signed a global co-operation agreement with Siemens AG to jointly address the global Smart Grid market.

Project Location: 
Athena, AT, 16674
Greece
What are your future milestones, and how much capital will you need to achieve each of the milestones outlined?: 

Available only after signing an NDA agreement

What is your total and operating cash burn (the amount you're spending) per month? : 

Available only after signing an NDA agreement

How many future rounds of financing do you project? : 

Available only after signing an NDA agreement

Who is the Customer?: 

Our customers are Electricity Utilities world-wide. The current global market estimation runs into 18,000 Utilities world-wide – Important to note that Siemens enjoys approx. 34% of the Global Electrical Utility Energy Automation business. Currently we have pilots deployed or planned in Utilities in Greece, Egypt, Philippines, Turkey, India and over 20 more locations spread around the world.

What is the Customer Pain that you are solving?: 

Reliability of electrical grid, efficient load management, reduction in line losses (technical and non-technical), implementation of smart metering systems, connection and control of renewable energy platforms.
The main problem for Utilities world-wide is the maintenance and control of their existing Medium and Low Voltage (MV & LV) networks. Typically MV & LV networks represent the largest, longest and most important infrastructure. Existing MV & LV infrastructures are usually very old, poorly maintained and prohibitively expensive to replace. Increasing demand from consumers leads to more black-outs with resulting catastrophic losses in the local economies. At the same time huge amounts of produced energy are wasted because although the demand peaks only at specific times during the day, the Utilities must be ready for this regardless. Management of the peaks through Smart Grid technology represents a large saving opportunity for the Utilities.

Names of any current or recent customers: 

Confidential

What is the Target Market?: 

Electric Utilities globally

How big is the Target Market in terms of Annual Sales?: 
$2B-$5B
Sales/Marketing Strategy: 

We have implemented pilot projects mainly in the areas where Siemens has ongoing business activity. Most of our projects are either custom-built as per customer specifications or off-the-shelf for educated Utilities. Nationwide deployments will usually take the form of either a large project through a consortium of dedicated partners involving Amperion, Siemens and a local Integrator, or specialized PPP (Public / Private Partnership) projects.

Provide use cases : 

Confidential

Competition: 

There are some other companies entering the Smart Grid business, mainly from the US. Most of these concentrate on Low Voltage applications. Those who are entering the Medium Voltage market usually infringe Amperion’s patents. In either case we feel that we are leading the competition both with our technology and know-how, as well as with our existing pilot projects one of which in Larissa, Greece is considered the most extensive and complex Smart Grid pilot world-wide.

One-line Pitch: 

A rare chance to get in at the ground level with a company set to become a major global entity in the Smart Grid sector, within 2-3 years!

Business Model: 

We work with a gross margin of approx. 30% for the specialized hardware we produce and at least 45% for the dedicated services we provide. In conjunction with our global partner Siemens AG, we deploy smart grid solutions to Electric Utilities, usually in the MV / LV sector. We have implemented the largest and most sophisticated Smart Grid pilot globally, which is used as a reference site for other international utilities.

Product/Services Overview (what does it do): 

Amperion SA manufactures two different ranges of products based on the DS2 chip. This specialized hardware allows the transmission of digital data over medium voltage wires at speeds reaching several Mbps. Specialised hardware is only part of the Amperion solution as it also offers a complete range of services ranging from site surveying to network design and project management services.

Technology

What makes the technology/business unique and have a defendable competitive advantage?: 

The technology is patented in major global markets and is the most advanced in potential applications and performance.

Describe in detail the technology used in the Project - Address the innovation in significant detail : 

Amperion SA manufactures two different ranges of products based on the DS2 chip. This specialized hardware allows the transmission of digital data over medium voltage wires at speeds reaching several Mbps. Specialised hardware is only part of the Amperion solution as it also offers a complete range of services ranging from site surveying to network design and project management services.

What are the principles of the technology? : 

Confidential

What, if anything, has been proven (and how far is this from a commercial scale)? : 

Available only after NDA signed

Team

Current Investors: 
Available only after signing an NDA agreement

Financials

Amount Sought: 
€30,000,000
If raising funds, what shall the funds be used for?: 

1. Global expansion and establishment of network of regional offices and Global R&D Centre of Excellence
2. Strategic investment in affiliate design company, to further develop technology.
3. Retention of leading global Research Organisation to advance our developed technology.
4. Deployment of further pilot projects required in various Utilities globally

Pre-Money Valuation: 
€147,000,000
Funding Received to Date: 
€4,000,000
Amount invested by Founders: 
€8,000,000
Funding Stage: 
Pre-Revenue
Internal Rate of Return (IRR): 
42%

Comments

 

CAPSTONE INVESTMENT ADVISORS (UK), LLP has been a leader in the venture capital arena since 2007 it was incorporated. Our focus is on rapidly growing world companies, where new technology can fundamentally change the way people conduct business or enjoy their lifestyles.

 

Our extensive experience in the venture capital field helps ensure that all of our investors partake in unique opportunities, otherwise available only to high net worth and institutional investors. By investing in both private and public companies in sectors like alternative power, water, organic and natural foods, and environmental technologies we are able to tap into the growing demand for environmentally superior products and services. We believe that investing in the environmental economy helps build companies that matter, but success is providing superior returns to our investors.

 

If you requires immediate funding into your project and you know that your project is a lucrative projects, do not hesitate to contact me on my direct email ciaukllp@live.com  

 

 

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Tue, 11/15/2011 - 12:26