CDC Entreprises made the €5m equity investment from the Ecotechnologies Fund, which it manages on behalf of the French government.
Existing investors Emertec Gestion, Sofinnova Partners, Gimv, Arevadelfi and Clipperton Finance provided the remaining capital.
The company said it would use the funding to support commercial development following the purchase of an electrolysis equipments production unit.
Anne-Sophie Carrese, investment director at CDC Entreprises, said “This solution answers a key challenge of the energy transition: how to store energy with enough flexibility to integrate further the different renewable energy production sources.
“We clearly see McPhy Energy as one the leading start-up companies in the field of energy storage.
“The investment carried out by the Ecotechnologies Fund provides an answer to a specific challenge identified in the clean technology space: in spite of a growing need for innovation, many small and medium enterprises are unable to finance their growth and raise capital for their development, specifically when they reach industrial and commercial stages.
“This operation highlights how CDC Entreprises direct and indirect interventions complete one another as some of the co-investors in this operation belongs to our network.”
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