Clean tech, big money (and the JAMBOG trap)
"Wind energy, solar energy and biofuels are each bigger markets globally, at $13bn, than e-commerce, at $11bn."
That's an eye-opening statistic, given the hype given to the likes of Amazon, and the continued disdain from some quarters for anything smacking of environmentalism or that dread word 'sustainability'.
There's also a piece by Real Deals editor Ross Butler on the importance (or otherwise) of regional offices for private equity firms. As I've noted in countless previous features, there's been a general retrenchment away from the regions, with a few firms such as Isis as notable counter-examples. Ross did ask me to write a side-piece for this article on the Leeds market, which unfortunately I couldn't fit into the schedule - mainly because I was deep into another long deals piece for the sister mag, Real Business, this time looking at expansion or development capital. That's a market that's been largely ignored in recent years, but many of the advisors and VCs I spoke to reckon that there's more money moving back in. In large part, that's because the VCs need to secure themselves a niche in a crowded market and not just be seen as JAMBOG - an acronym, we also learn from this RD, for 'just another mid-market buy-out group'.
Seems slightly odd that something as innovative as the latest clean technologies, and something as traditional as mid-market minority-stake development capital, are both seen as niches. Maybe it says more about the state of the mainstream.