Press release · July 17, 2024
Quatt secures €25 million in growth funding
Quatt, an Amsterdam-based scale-up specializing in smart heat pumps, announces €25 million in a growth equity funding round led by Blue Earth Capital, with participation from Seaya Andromeda and existing investor Impact Equity Fund.
Quatt has experienced rapid growth over the past two years, installing over 7,500 smart heat pumps throughout the Netherlands. “Due to its quick payback period, more and more Dutch people are opting for our heat pump,” says Marijn Flipse, CEO and co-founder of Quatt. “In the three years since our inception, we have secured a leading position in the heat pump market thanks to our consumer-centric approach, smart software and attractive design. By focusing on product development, sales, and installation all in-house, we deliver an excellent customer experience at a very competitive price. This is now recognized by international investors as well.”
New products and crossing borders
Quatt’s flagship product is the “Hybrid”, an ingenious intermediate solution towards fully decarbonizing residential heating by connecting a Quatt-designed hybrid heat pump to customers’ existing boilers, reducing their gas consumption by up to 80% while keeping the boilers for back-up heating needs. Quatt recently introduced two add-ons to Hybrid — the “All-Electric” heat pump and its patented cooling system “Chill.” This financing will enable Quatt to accelerate the development of these and other new products.
Flipse adds, “Over the next 5–10 years, Europe will need to take significant steps in transitioning the built environment to sustainable energy. We aim to make sustainable homes accessible to everyone while reducing energy costs. We look beyond just the heat pump and Dutch borders.” As part of its expansion strategy, Quatt is complementing its market-leading online lead generation with collaborations with installation partners, energy companies, and other market players.
Energy transition
“Heat pumps are an important part of the energy transition for Europe, where nearly 80% of final energy consumption in the residential sector is used for space and water heating, with a high dependence on natural gas,” says Kayode Akinola, Head of Private Equity at Blue Earth Capital. “Quatt’s differentiated approach and product suite address common barriers to heat pump adoption by building consumer confidence. This enables real energy and cost savings whilst starting the transition to electrification of an important part of the household and working to decarbonize residential properties. This approach aligns with BlueEarth’s aim to support the energy transition by providing growth equity and support to companies offering products and services that contribute towards decarbonization.”
Carlos Fisch, partner and co-Head at Seaya Andromeda, says “Quatt’s modular system will play an important role in the energy transition. Consumers can gradually switch to sustainable energy. From this winter, Quatt’s hybrid heat pump can be upgraded to a fully electric pump, and in the spring of 2025, they will launch Chill, a unique air conditioning system that cools using the existing heat pump. With this product roadmap, we believe Quatt can become a category leader. We are looking forward to supporting the team with their efforts to expand in Europe.”
The Dutch Impact Equity Fund is also participating in this funding round. Randolf Nijsse, founder of Impact Equity Fund, is particularly impressed by the focus on the customer journey of the Dutch smart heat pump company. “The ease of purchase is crucial for success and impact on the energy transition. Quatt’s products are low-threshold, making them distinctive in this market.”
