Q1: Global solar industry M&A financing of US$2 billion, down 65% from the previous month

Mercom Capital Group, a global clean energy communications and consulting firm, has released a report
on global solar industry financing and mergers and acquisitions (M&A) activity in the first quarter of 2018.
Global solar company financing (including venture capital funding, public markets and debt financing) fell 65% sequentially to $2 billion in the first quarter from $5.
7 billion
in the fourth quarter of 2017, the report said.
This decreased 38% year-over-year to $3.
2 billion in the year-ago quarter.

"After experiencing strong growth in the fourth quarter of 2017, financial activity slowed again in the first quarter of 2018 to post-tariff levels last year as market uncertainty and lack of market clarity weighed on investment," commented
Raj Prabhu, CEO of Mercom.
"The highlight of the first quarter was a record number of solar project acquisitions, proving that solar power is a sought-after asset class
.
"

Venture capital

Global venture capital (venture capital, private equity and corporate venture capital) in the solar sector fell 75% sequentially to $161 million in the first quarter, involving 22 transactions, compared to $639 million
in 30 transactions in the fourth quarter of 2017.
$588 million
raised in 23 transactions compared to the same period last year.

Most of the venture capital funds raised in the first quarter of 2018 went to 18 solar downstream companies with an investment of $124.
5 million.

The top venture capital deals included: $55 million raised by Off Grid Electric, $25 million raised by d.
light design, $23 million guaranteed by Solaria, $12.
5 million raised by Renewable Properties, $11 million raised by Kiran Energy Solar and $10 million from M-KOPA
。

Public market financing

Solar public market financing reached $103 million in four transactions in the first quarter of 2018, down significantly
from $657 million in 10 transactions in the fourth quarter of 2017.
Compared to the same period last year, $461 million
was raised in 13 transactions.
Sky Energy conducted its only solar IPO
in the first quarter of 2018.

Total debt financing announced in 17 transactions in the first quarter of 2018 totaled $1.
8 billion
.
Sequentially, 23 transactions totaling $
4.
4 billion were announced in the fourth quarter of 2017.
Year-over-year, 25 transactions raised $2.
2 billion
in the first quarter of 2017.
Most of the debt in the first quarter of 2018 was provided by solar downstream companies
.

Large project financing announced in the first quarter of 2018 totaled $2.
7 billion of 58 transactions, down from $3.
7 billion
of 49 transactions announced in the fourth quarter of 2017.
Raised $2.
6 billion
in 33 transactions in the first quarter of 2017 compared to the same period last year.

Only one residential and commercial solar fund was announced in the first quarter of 2018 with a size of $400 million, compared to $213 million raised by three funds in the fourth quarter of 2017
.
In the same quarter last year (first quarter of 2017), six funds raised $630 million
.

Nineteen solar M&A deals were announced in the first quarter of 2018, compared to 13 transactions in the fourth quarter of 2017 and 29 transactions
in the first quarter of 2017.
Of the 19 transactions in the first quarter of 2018, 10 involved solar downstream companies
.

In the first quarter of 2018, there were 80 large-scale solar project acquisitions (16 disclosed transactions valued at $1.
9 billion), compared to 67 transactions (26 disclosed transactions valued at $3.
7 billion)
in the fourth quarter of 2017.
The first quarter of 2017 was 49 transactions (18 disclosed valued at $1.
9 billion).