Axle Energy €21 Mn in Series A Round led by Energize Capital

The funding will be used to expand Axle Energy's business across the UK and international markets. It will also help the company connect more distributed energy assets and grow its partnerships with OEMs, utilities, and fleet operators.

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The funding round was led by Energize Capital, with participation from existing investors Accel, Picus Capital, and Eka Ventures.

Karl Bach, CEO and co-founder of Axle Energy, says: “Energy security is no longer just about where our energy comes from. AI and electrification are increasing electricity demand at a pace that power systems were not designed for. Recent geopolitical events have highlighted the risks of relying on international commodity markets, while new generation and grid infrastructure can take years to build.

“Virtual power plants unlock capacity from infrastructure that already exists, bringing flexible capacity online in weeks rather than years and reducing the need to rely on expensive fossil-fuel generation when demand spikes.”

Tyler Lancaster, Partner at Energize Capital adds: “As energy software investors, we have researched the VPP market for a decade, watching for the right team to scale this technology. Axle brings the most comprehensive vision, experienced and agile team, and customer-aligned, scalable business model we’ve seen.

“As U.S. and European markets face a watershed moment for grid strain due to AI power demand, we believe Axle can be a blueprint for what can become a global solution.”

Founded in 2023 by Karl Bach, Axle Energy is an energy flexibility platform that helps turn EV chargers, home batteries, heat pumps, and other energy devices into virtual power plants. This allows these devices to work together and support the electricity grid.

Its software helps OEMs, energy suppliers, and fleet operators connect these energy assets to electricity markets. This helps balance the power grid more efficiently while reducing energy costs.