Konarka Raises $20 Million in Venture Capital Financing Led by 3i

February 13, 2006 by Jeff Shepard

Konarka Technologies Inc., an innovator in developing Power Plastic™ that converts light to energy, announced that it has raised $20 million in venture capital financing. The financing was led by 3i, a leading venture capital and private equity firm.

Existing investors, including Draper Fisher Jurvetson, New Enterprise Associates, Good Energies, Vanguard Ventures, Partech International and Chevron Technology Ventures, also participated in the round. Konarka plans to use this round of funding to accelerate further growth, continue to execute on its global partnering strategy and to support ongoing research and development efforts.

Concurrent with the funding, Marko Maschek, partner with 3i, and Michael Ware, managing director at Advanced Capital Markets representing Good Energies, have joined Konarka's Board of Directors.

"Energy is one of the greatest problems facing the world this century. Today, less than 1 percent of the global energy produced comes from solar sources. With Konarka's exceptional management team and breakthrough technology, the organization is uniquely positioned to deliver innovative solar energy," said Marko Maschek, partner at 3i. "We are delighted to support the company to fulfill its vision of providing low cost, universally available sources of renewable power."

Howard Berke, Konarka's chairman and chief executive officer, said, "We are pleased to have 3i join our group of leading investors, as well as the continued support of our existing investors. According to some analysts, the solar market represented an $8 billion opportunity in 2004, grew into an $11 billion opportunity in 2005 and could be in excess of $30 billion by the end of the decade. This funding will provide long-term financial support for ongoing process and product development, as we continue to execute upon our strategy of partnering with leading global materials, printing and product application companies."

Founded in 2001, Konarka has raised $60 million in previous rounds. In 2004, Konarka acquired Siemens AG's organic photovoltaic research activities, as well as its renowned scientific team.

Based on its contributions to the energy market and the nanotechnology field, Konarka has been named a Red Herring Top 100 Company and was most recently awarded the Popular Mechanics Breakthrough Award for 2005.

Konarka builds products that convert light to energy. Konarka is the leading developer of Power Plastic, polymer photovoltaic products that provide a source of renewable power in a variety of form factors for commercial, industrial, government and consumer applications.