NEW YORK – As the United States embarks on a once-in-a-generation transition to cleaner, more renewable energy, Crux is announcing the launch of a new ecosystem for sustainable finance – one that will accelerate clean energy projects made possible by the Inflation Reduction Act (IRA), beginning with the law's transferable tax credits.
Crux is co-founded by Alfred Johnson and Allen Kramer, who previously founded and exited a successful marketplace software company for mission-driven enterprises, Mobilize. They are joined by Rob Parker, who will serve as Chief Commercial Officer, bringing 20+ years of experience in the power industry and most recently holding the position of CFO at Rev Renewables.
The company is announcing the closing of its first round of funding at $4.6 million, which was led by Lowercarbon Capital. Additional investors include New System Ventures, Overture, Ardent Venture Partners, the Three Cairns Group, and Bolt, a QED seed program. Individual investors include the founders of multi-billion dollar finance and clean energy companies; top energy finance lawyers; the partners of leading venture capital firms; Lee Sachs of Gallatin Point; and Henry Kravis of KKR. Investors in the company collectively generate billions of dollars of tax credits annually. Crux's team brings decades of experience in the power industry, project finance, financial markets, government, and software engineering – particularly in regulated industries.
“We're launching Crux to catalyze investment in clean energy and ensure we take full advantage of this generational opportunity,” Johnson said. “Our strong initial funding round underscores the need to more efficiently finance the nearly $3 trillion in clean energy and decarbonization projects that are likely to be built over the next decade.”
“The IRA could generate upward of a trillion dollars in tax credits, but to unlock them will take a platform like Crux to pair renewable developers with tax credit buyers,” said Clay Dumas of Lowercarbon Capital.
Over the last decade, clean energy project growth has accelerated exponentially. The IRA aims to deepen and accelerate the transition to cleaner, more renewable energy by making the law's tax credits transferable. Transferability of the IRA's tax credits will act as a force multiplier for these investments, but businesses, developers, and financial institutions face the challenge of transacting efficiently to get shovels in the ground quickly. Crux's software and network will make these transactions less expensive, faster, and more accessible, catalyzing clean energy investment.
“Alfred and I first met while working at the Treasury Department during the 2008 financial crisis, and he has been one of the most impressive colleagues I've ever worked with,” said Ian Samuels of New System Ventures. “I had the chance to invest in Alfred and Allen's first company, Mobilize, and we are thrilled to be a founding investor and advisor to the team, having participated in the incubation of Crux and to be a partner on this journey together. Crux's drive for transparent and efficient innovation in such large and growing markets will be a major force towards accelerating the transition to a more sustainable future.”
Get our latest insights and favorite reads on the transferable tax credit market in your inbox.
November 20, 2024
Crux helped Rivian structure two tax credit deals in the absence of technology-specific guidance from the Internal Revenue Service, ultimately driving a competitive process and making Rivian's entry into the transferable tax credit market a success.
Read More
October 7, 2024
Crux facilitated one of the industry's first advanced manufacturing tax credit transactions in late 2023. Here's how the deal got done.
Read More
June 26, 2024
Crux facilitated the competitive solicitation of bids for an electric utility customer, leading to the successful closing of their first transferable tax credit transaction in just a few weeks.
Read More
.jpg)
.jpg)
.png)
.png)
