Deepki, the only company offering a fully populated ESG data intelligence platform for the real estate sector, announces that it has raised €150 million in a Series C round of funding. The operation was co-led by One Peak and Highland Europe, two London-based Growth Equity firms specializing in category-leading, growth stage, technology companies in Europe.
Other investors include Bpifrance, through their Large Venture fund, and Revaia, and existing investors Hi Inov and Statkraft Ventures, who continue to support the growth of the business.
What does Deepki mean to the real estate sector?
Founded in 2014, Deepki’s SaaS platform helps real estate investors and managers improve the ESG performance of their real estate assets, and in the process enhance their value.
The real estate sector is currently responsible for around 40% of the Earth’s recorded carbon emissions, and has a clear target of reaching net zero by 2050 – a goal set by the World Green Building Council (WorldGBG) Net Zero Carbon Buildings Commitment.
More than $5 trillion of investment is needed each year to decarbonize the built environment and ensure the real estate sector can meet its commitment to meet the net zero target by 2050. Deepki estimates that the value of the monitoring and analytics market required to achieve this goal will be worth $5 to $10 billion by 2025, with year-on-year growth of 20%.
The SaaS platform enables clients to collect ESG data, get a comprehensive overview of their portfolio’s ESG performance, establish investment plans to reach Net Zero, improve energy efficiency, and assess results. It also allows users to report to key stakeholders.
The platform is supported by carbon and ESG experts who partner with clients across data collection and analysis, through to ESG strategy definition and implementation.
What is the market reach of Deepki?
Now with over 150 employees, offices in five European capital cities and operating in over 38 countries, Deepki has become the global leader in Environmental, Social and Governance (ESG) and data intelligence solutions for environmental transition in the commercial real estate sector, with over 500 million sqm – five times the area of Paris – under management.
To date, Deepki has saved over 180,000 equivalent tonnes of CO₂ across its client base.
The new funding will help consolidate Deepki’s leadership position in Europe through innovation, securing over 200 new hires in 2022, establish and grow the business in the US within the next 12 months, and carry out strategic acquisitions.
Deepki has enjoyed 100% year-on-year growth since 2019 and is confident that this trend will continue into 2022, as it seeks to benefit from the real estate sector’s increasing focus on improving ESG performance and combating climate change.
In 2021, Deepki secured new business from major European players like AEW and Tikehau in France, Generali RE and DeA Capital in Italy, Allianz Real Estate and Warburg HIH in Germany, Azora Capital and Neinver in Spain, and other global property and asset managers in the UK.
Commenting on the new funding, Vincent Bryant, CEO and Co-founder of Deepki, said: “The global real estate sector needs to act now if it is to halve its emissions by 2030 and meet the net zero target by 2050. This represents a huge market opportunity for Deepki.”
“Today’s news means that Deepki can make a greater impact and support more asset owners in taking on the climate change, and we are pleased to have new partners Highland Europe and One Peak, as well as Revaia and Bpifrance Large Venture on this journey.”
Emmanuel Blanchet, COO and Co-founder of Deepki, added: “Commercial real estate with poor ESG performance is already being affected by brown discounting and greater focus is being placed on properties which can adapt to more stringent requirements.”
“We are now seeing growing demand for our tech. The investment means that we can take it to new markets and support the real estate sector as it tackles climate change.”
What do the investors think of Deepki’s technology?
Jean Tardy-Joubert, Partner at Highland Europe, said: “What gets measured, gets managed and this is key to reducing emissions from the real estate sector, which is responsible for 40% of the Earth’s carbon emissions. Deepki provides a way for building owners, managers and tenants to measure and therefore neutralize the carbon impact of their assets.”
“For one of the world’s oldest and most important industries, Deepki is providing an important first step on the journey to achieving real estate’s Net Zero goals.”
Humbert de Liedekerke Beaufort, Managing Partner at One Peak, commented: “Tackling climate change is the most imminent and most significant issue facing the planet today. We are proud to support Deepki as it helps the real estate sector understand and take steps to cut its carbon emissions, thanks to its market-leading and innovative solutions.”
Caroline Lebel, Investment Director at Bpifrance Large Venture fund, added: “We are pleased to support Deepki in its next phase of growth. In a short time, the business has set up a market-leading position and is ready to take its ESG to new markets such as the US.”
Alice Albizzati, Founding Partner at Revaia (formerly Gaia Capital Partners), added: “We were impressed by Deepki’s visionary management, who have managed to create a global leader in a deep, rapidly growing and much in-need real estate market.”
Valère Rames, Partner at Hi Inov, added: “Deepki manages to do something very few SaaS organisations are capable of: growing – growing rapidly – and in a remarkable way.”
“Deepki plays a vital part in helping real estate asset managers understand how to improve their environmental performance and protect their value. We are convinced that Deepki’s platform will establish itself as a key enabler in meeting the global ESG challenge.”
Stefan Hülsen, Managing Director at Statkraft Ventures, said: “Deepki is ahead of the competition and has everything needed to remain the leader, as businesses do their part to tackle climate change. We are pleased to continue to support its growth as a global player.”
For further information about Deepki’s end-to-end ESG solutions, visit: www.deepki.com