News: Sealed Raises $16M Series B
See below for a re-print of a Globe Newswire press release on the $16M Series B raised by Sealed. Sealed is focused on enabling home retrofits and modernizations through its financing and servicing solutions. The original press release can be found here.
Sealed Raises $16M Series B to Modernize Residential Heating and Cooling and Take Houses Off Fossil Fuels
June 24, 2021 08:00 ET | Source: Sealed
Fifth Wall makes first lead investment from its Climate Technology Fund; Robert Downey Jr.’s FootPrint Coalition Ventures also joins the round
Funding will support nationwide acceleration of residential energy efficiency and electrification
NEW YORK, June 24, 2021 (GLOBE NEWSWIRE) -- Sealed today announced it has raised $16 million in Series B funding to accelerate its mission to make homes more comfortable, healthier, and cleaner for the planet. Fifth Wall, the largest venture capital firm focused on technology-driven innovation for the global real estate industry, made its first lead investment from its Climate Technology Fund. FootPrint Coalition Ventures, co-founded by Robert Downey Jr., and returning backers Cyrus Capital and CityRock Ventures, also participated in the round. Greg Smithies, partner at Fifth Wall who leads the firm’s Climate Technology Investment team, joins Sealed as a board member.
Modernizing home heating and cooling is an urgent, yet unmet, imperative in the fight against climate change. Houses are responsible for 20% of U.S. greenhouse gas emissions, representing an enormous opportunity to make progress towards critical carbon reduction goals. Most American homes remain riddled with common problems like air leakage, old insulation, and outdated fossil fuel furnaces that pollute the air, and waste energy.
“An energy efficient home is more comfortable and healthier for the homeowner, and ultimately better for the planet. But modernizing outdated heating and cooling systems is an expensive and time-consuming task, so most homes remain stuck in the past,” said Lauren Salz, CEO and co-founder of Sealed. “We are tackling these barriers head-on with a novel financing and service model that takes the onus off of the homeowner by covering the upfront costs of energy-saving upgrades, and coordinating the whole process. We’ve proven our approach is effective and are thrilled to reach even more homeowners with the support of our investors.”
Founded in 2012, Sealed transforms home heating and cooling to deliver clean air and comfort with less energy. With its innovative financing and service model, Sealed covers the upfront costs of professional upgrades like insulation, heating, and cooling, and homeowners pay back Sealed with energy savings. If the home doesn’t save energy, Sealed doesn’t get paid.
"At America’s current rate of retrofits, it will take more than 500 years to modernize our homes. It is time to have a new conversation about how to make every home more healthy and comfortable for the people living inside—as well as cleaner for the planet," said Andy Frank, president and co-founder of Sealed. “Sealed is building a company aligned with the interests of our customers and our environment—we only succeed financially when we make an impact by reducing pollution and creating local jobs.”
The performance-based financing is built on Sealed’s patent-pending machine learning algorithm that uses real usage and consumption data to accurately predict energy use and savings. Sealed homeowners see up to 60% reductions in energy usage.
“Sealed is our first lead investment in our Climate Tech Fund because modernizing home heating and cooling is an urgent imperative in the fight against climate change. Accelerating residential energy efficiency and electrification is one of the fastest ways to reduce our dependence on fossil fuels and restore our environment,” said Greg Smithies, partner at Fifth Wall where he leads the Climate Technology Investment team and newly-appointed Sealed board member. “There is no path for any country on the planet to get to zero carbon if we don’t fix our houses. Homeowners are starting to understand the connection between home health, comfort, and environmental impact. Sealed has created a brand new model that makes vital upgrades accessible to consumers, and maps a blueprint for decarbonizing homes across the country, and the world.
“There’s roughly $50 billion in wasted energy leaking out through the roofs of more than 33 million homes across the United States,” said FootPrint Coalition Ventures co-founder Robert Downey, Jr. “We love the promise of Sealed - upgrading homes with new insulation, air sealing, LED lights, smart thermostats, and modern heating and cooling technology - and that Sealed only gets paid if they reduce a customer’s energy consumption. FootPrint is proud to support Lauren and Andy on this mission.”
The new funding comes off the heels of a breakthrough year in 2020, when the company experienced 200% year-over-year growth, and is seeing an acceleration in 2021. The new capital will fuel Sealed’s nationwide expansion efforts, starting with launches in New Jersey and Connecticut — the first locations where Sealed will be available outside of New York State. Over the next year, Sealed will launch in additional markets, focusing on areas of the country where older homes and extreme weather patterns are more prevalent.
Joining Fifth Wall and FootPrint Coalition Ventures are returning backers Cyrus Capital and CityRock Ventures. To-date, Sealed has raised $33M in total funding. Sealed is backed by a credit facility with the New York Green Bank and an energy savings insurance program with Munich Re. The company has partnerships with all major utilities in New York State, including Con Edison, Orange and Rockland Utilities, National Fuel Gas, Central Hudson Utilities, NYSEG, and RG&E.
To learn more about how Sealed is modernizing home heating and cooling, visit https://www.sealed.com/.
Sealed is a home wellness company on a mission to make homes healthy, comfortable, and clean for the planet. Sealed is transforming energy, finance and home improvement to deliver clean air and comfort with less energy. Sealed modernizes home heating and cooling with upgrades like insulation and HVAC technology. Sealed matches the right contractor, covers the upfront costs, and stands behind the work: Sealed only gets paid if your house saves energy. Sealed is venture backed and based in New York City. Learn more at sealed.com.
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