There was a 24 percent decrease in total corporate funding in the solar industry to $26.3 billion across 157 deals, Mercom Capital Group said.
Uncertainties like inflation, high interest rates, trade disputes, and policy ambiguity hindered the market, with investors awaiting clear policy signals from the new administration.
Global VC and private equity funding in the solar industry reached $4.5 billion, with 87 percent allocated to Solar Downstream companies and 14 major deals exceeding $100 million, including top deals by Pine Gate Renewables ($650 million) and Nexamp ($520 million).
Public market financing in the solar industry totaled $3 billion, with nine companies going public and raising $1.3 billion. Debt financing reached $18.8 billion, driven by record securitization deals of $5 billion. There were 82 corporate M&A transactions, with Solar Downstream companies leading the activity.
Large-scale solar project acquisitions amounted to 37.7 GW, with Project Developers and IPPs accounting for 38 percent, followed by Investment Firms and Infrastructure Funds at 35 percent.