Investing in Fusion for a Fossil-Free Grid

Investing in Fusion for a Fossil-Free Grid

Insights, Report


This investment thesis is the second in a suite of six reports under our Deep Tech x Energy theme and focuses on investment opportunities within nuclear fusion. The Deeptech x Energy reports include deep dives and an analysis of the latest trends in:

  • Investing Ahead of the Decarbonization Curve
  • Scaling up the production of novel fuels (This report)
  • Innovative technologies to make renewable energy mainstream
  • Looking beyond lithium for energy storage & supply
  • Disrupting industrial processes & digitalization
  • Accelerating carbon capture discovery & deployment

There are 36 privately funded fusion startups at the time of writing this report, compared to just one in 2001. The value of private investments in fusion has tripled in the past twenty years and is estimated to be over $4.4 billion today. A successful investment in fusion could return the fund, but the technical risks and a long financing pathway must be factored into the decision process. As an evergreen fund, we are uniquely positioned to invest in early-stage science and engineering-based innovations, such as fusion.

In this Report

  • Market analysis: We analysed the competitive & regulatory landscape and assessed the role of fusion in a 2050 decarbonized energy mix
  • Private investments: We highlight key deals to identify fund profiles that fit private investments in fusion and the role of public funding
  • The case for venture capital: We interviewed VCs and strategic investors to identify the scale-up and exit opportunities
  • Placing our bet: Our case for Novatron fusion

Download the report as PDF ↗