Amsterdam-based Quatt, a technology scale-up that develops a hybrid heat pump, announced on Wednesday that it has secured €25M in a growth equity funding round led by Blue Earth Capital, with participation from Seaya Andromeda and existing investor Impact Equity Fund.
The announcement comes as the Dutch company experienced rapid growth over the past two years, installing over 7,500 smart heat pumps throughout the Netherlands.
The Dutch Impact Equity Fund is also participating in this funding round.
The funding will be used to accelerate new product development and international expansion. The company raised €1.5M through Duurzaam Investeren last year.
“Due to its quick payback period, more and more Dutch people are opting for our heat pump,” says Marijn Flipse, CEO and co-founder of Quatt.
“In the three years since our inception, we have secured a leading position in the heat pump market thanks to our consumer-centric approach, smart software, and attractive design. By focusing on product development, sales, and installation all in-house, we deliver an excellent customer experience at a very competitive price. This is now recognized by international investors as well,” adds Flipse.
Quatt: Accelerating the transition to fossil-free heating
Quatt was founded by brothers Flipse and Marijn Flipse in 2021 with a mission to install 3M Quatt heat pumps within 2030.
The Dutch scale-up develops, manufactures, and installs the Quatt Hybrid, a hybrid heat pump driven by smart software. Quatt recently introduced two add-ons to Hybrid – the “All-Electric” heat pump and its patented cooling system “Chill.”
The Amsterdam scale-up claims its hybrid heat pump can save up to 80 per cent of the gas bill compared to a central heating boiler.
According to the company, these hybrid heat pumps don’t require any additional changes to the home. The boiler stays active to produce domestic hot water and supports the pump when it can’t meet heating demand.
The company says the hybrid heat pump is controlled by self-learning software. With a shortened chain and efficient installations, the platform offers 30-50 per cent lower prices than traditional hybrid heat pumps.
Since the hybrid heat pump and the software controlling the heat pump are developed in-house, the company aims to make constant improvements to maximise CO₂ and money savings for the customer.
Flipse adds, “Over the next 5-10 years, Europe will need to take significant steps in transitioning the built environment to sustainable energy. We aim to make sustainable homes accessible to everyone while reducing energy costs. We look beyond just the heat pump and Dutch borders.”
The investor
Blue Earth Capital is a global, independent, specialist impact investor that aims to address the world’s most pressing social and environmental challenges. The company operates dedicated private equity, private credit, and fund solutions.
Carlos Fisch, partner and co-head at Seaya Andromeda says, “Quatt’s modular system will play an important role in the energy transition. Consumers can gradually switch to sustainable energy. From this winter, Quatt’s hybrid heat pump can be upgraded to a fully electric pump, and in the spring of 2025, they will launch Chill, a unique air conditioning system that cools using the existing heat pump. With this product roadmap, we believe Quatt can become a category leader. We are looking forward to supporting the team with their efforts to expand in Europe.”
Randolf Nijsse, founder of Impact Equity Fund, says, “The ease of purchase is crucial for success and impact on the energy transition. Quatt’s products are low-threshold, making them distinctive in this market.”
