Redaptive, an Energy-as-a-Service (EaaS) provider, has received an additional $100 million equity investment from the Canada Pension Plan Investment Board (CPP Investments). The strategic funding aims to enhance Redaptive’s capacity to accelerate its energy-saving projects, expand services, and support increased decarbonisation efforts among its clients.
The new investment comes amid rising global carbon emissions, which reached record levels in 2023, increasing by 1.5% compared to pre-pandemic years. The buildings and construction sector alone contributed 37% of total emissions, highlighting the need for energy-efficient solutions. Redaptive collaborates with major corporations like McKesson, Iron Mountain, and Saint-Gobain to deliver comprehensive, fully-funded energy and renewable upgrades that support their net-zero goals.
Redaptive’s EaaS model operates on a shared savings approach, enabling clients to achieve energy efficiency and carbon reduction without upfront costs. Its proprietary metering technology allows real-time, asset-level monitoring, providing better insights into energy use. The programmes, lasting from 5 to 15 years, cover diagnostics, project development, funding, procurement, and monitoring, ensuring end-to-end efficiency and sustainability.
Arvin Vohra, CEO of Redaptive said, “CPP Investments has recognised Redaptive’s success in transforming energy management for enterprises and has increased its stake to drive our continued growth. This investment is a reflection of the strength of our team and the impact we’re making in the industry. With CPP Investments as a partner, we’re now positioned to accelerate our mission and help more organisations overcome the barriers to energy efficiency and carbon reduction.”
This funding follows Redaptive’s recent appointment of Monish Sharma as the new Chief Technology Officer (CTO). Sharma, who brings over 20 years of experience working with Fortune 500 companies, will focus on expanding Redaptive’s data and technology offerings to deliver next-generation platforms and products that enhance energy management capabilities.
Edwina Kelly, Managing Director and Head of Sustainable Energies, US at CPP Investment said, “Redaptive has demonstrated strong execution in driving energy savings in a volatile market. As enterprises increasingly focus on sustainability, Redaptive is well-positioned to enable them to more efficiently achieve their energy and sustainability goals. This investment in Redaptive aligns with our goal of promoting the smart, sustainable use of energy resources and supporting initiatives that promote the transition to a low-carbon economy. Our additional investment will help Redaptive to continue to scale its business while providing strong risk-adjusted returns to the CPP fund.”