Abstract:
Start-up firms play a crucial role in moving towards green growth, as they often exploit opportunities ignored by incumbent firms. Private equity financing is essential for allowing new ventures to grow in emerging sectors. The analysis therefore aims to identify company-, regional- and national-level determinants of private equity financing in the Cleantech sector. Results are drawn from a comprehensive deal-level information on businesses seeking investment in the cleantech industry over the period 2005-2010 in 26 OECD and BRIICS countries, combined with information on patenting activity of companies and indicators of renewable policies and government R&D expenditures. The results suggest that national environmental deployment policies designed with a long-term perspective of creating a market for environmental technologies are associated with higher investment levels relative to more short-term fiscal policies, such as tax incentives and rebates. Results also show that entrepreneurial companies that are patenting are more likely to receive financing by private investors.
P.S.: The seminar will be held in English.
