Target Information

Viboo, a Swiss Climate and PropTech startup, has successfully secured €3.3 million in its second funding round led by Realyze Ventures, along with Zürcher Kantonalbank and several other existing and new investors. The funding will be utilized to facilitate Viboo's Market entry into Germany.

Viboo has developed an AI-based cloud platform that advances from an energy management tool to a comprehensive building management system, aimed at enhancing energy efficiency in commercial properties.

Industry Overview in Switzerland

The building sector is responsible for over 40% of global CO2 emissions, and the urgency for action is increasing. The European Union mandates that existing buildings must achieve net-zero emissions by 2050, and by 2030, 5.38 million commercial buildings in the EU need to improve their energy efficiency class to at least E to avoid becoming 'stranded assets'. Current evaluations reveal that low-energy-efficient buildings lose 4% of their value annually. Additionally, many building automation systems will become obligatory across several types of properties.

In Switzerland, the demand for energy efficiency solutions is stimulated by stringent regulations, including the Gebäudeenergiegesetz (Building Energy Act), which encourages investments in technology that enhance performance and ensure compliance with new energy standards. This landscape presents a significant market opportunity for innovative solutions like Viboo's building management system.

Viboo’s cloud management system connects wirelessly with popular IoT devices, such as smart thermostats, and provides proactive control of heating behaviors. With a low-cost investment and quick return on investment (ROI), Viboo’s solution is already operational in over 100 buildings, achieving an average energy savings of 27%. This has led to existing customers increasing their contract volume eightfold for the winter season 2024/25.

Rationale Behind the Deal

The funds raised by Viboo will facilitate its entry into the German market, where there is a strong demand backed by regulatory requirements. The investment by Realyze Ventures is particularly strategic due to its extensive network in the German real estate sector, opening avenues for operational growth as Viboo refines its offerings expand its market scope beyond energy management towards comprehensive building management solutions.

The evolution of Viboo's platform towards incorporating market-relevant features such as individualized heating cost billing showcases a robust growth strategy that aligns with current market demands.

Investor Information

Realyze Ventures is a leading venture capital firm focused on investing in European startups that promote efficiency improvements in construction and energy sectors. With a profound industry understanding and an excellent network, they aim to accelerate the transition to net-zero emissions.

The firm emphasizes delivering strong returns while uncovering promising innovations for investors. Alongside Realyze Ventures, Zürcher Kantonalbank (ZKB), an established universal bank in the Zurich economic region, is also a key player in this investment round, known for its proactive role in early-stage investments within Switzerland.

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From an investment perspective, Viboo presents a compelling opportunity within the rapidly evolving PropTech and ClimateTech industries. Its innovative approach to building management, which promises significant energy savings while complying with stricter regulations, aligns well with emerging sustainability trends that attract both regulatory support and consumer interest.

The significant backing from multiple reputable investors, including Realyze Ventures and Zürcher Kantonalbank, reinforces confidence in Viboo's growth trajectory. Additionally, their established presence in Switzerland, coupled with a successful transition into the German market, demonstrates a feasible scaling strategy that could lead to substantial returns.

Moreover, the increasing importance of energy-efficient solutions in reducing operational costs for buildings presents Viboo as not just a startup with potential but a necessary player in an increasingly regulated and environmentally-conscious market.

Overall, the investment in Viboo fulfills a dual purpose: addressing significant environmental challenges and capitalizing on a high-demand market sector, which paints a positive outlook for its future performance.

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