Residential geothermal company Dandelion Energy has raised $16 million in series A funding from backers including Google's VC arm and big homebuilding player Lennar Corp., bringing total funding to $23 million.
Why it matters: The New York-based company, which spun out of Alphabet's R&D arm in 2017, said the cash will allow new R&D, the opening of new warehouses, and personnel additions.
Details: Comcast Ventures led the round with GV (once called Google Ventures).
- Other backers in the new round include NEA, Collaborative Fund, Ground Up, and Zhenfund.
- Dandelion declined to disclose the size of its current customer base, but a spokesman said they're the largest residential geothermal installer in the state.
The big picture: The company is marketing geothermal heating and cooling to displace electric and fossil fuel-based systems, including propane and fuel oil common in the Northeast.
The intrigue: Lennar's role appears to provide Dandelion a chance to expand more quickly.
- Lennar's Eric Feder said in a statement that they've wanted to include geothermal heating and cooling systems in new homes for years but "the math never made sense."
- Dandelion is "finally making geothermal affordable" so they're exploring the idea of including it in the homes they build, Feder writes.