Friday, February 6, 2026
Capalo AI Raises €11M to Scale BESS Optimization Platform.
The GMA Admin
Capalo AI, a Finnish energy technology startup, has secured €11 million in funding to scale its AI-powered platform for optimizing battery energy storage systems (BESS). The round supports expansion amid surging demand for renewable energy grid solutions. This investment builds on prior seed funding and positions Capalo at the forefront of Europe’s green transition.
Company Background
Founding and Mission
Founded in Helsinki, Finland, Capalo AI develops the Zeus VPP™ platform to maximize BESS value through AI-driven orchestration. Co-founder and CEO Henri Taskinen leads efforts to bridge energy markets and storage providers, addressing grid volatility from wind and solar intermittency. The company operates a turn-key service covering prequalification, automated trading in Nordic markets, and balance responsible party functions.
Previous Funding
In March 2025, Capalo raised €3.8 million ($4.1 million) in seed funding led by VentureFriends and PROfounders, with Inventure and Innovestor participating. This capital fueled initial platform development and market entry, proving the model’s viability in Nordic electricity markets. The new €11 million round—announced February 6, 2026—likely includes growth equity to target international expansion.
Technology Overview
Capalo’s Zeus VPP™ aggregates data from weather forecasts, real-time consumption, grid capacity, and generation levels to schedule optimal battery charging and discharging. Virtual power plants digitally link dispersed batteries into a unified asset, enabling precise bids across ancillary and wholesale markets.
Key capabilities include:
- AI forecasting for renewable output and demand.
- Dynamic optimization to maximize owner profits and grid stability.
- End-to-end trading, from commitments to dispatch.
Unlike hardware-focused solutions, Capalo emphasizes software intelligence, operating on a profit-sharing model that aligns incentives with performance.
Funding Round Details
The €11 million raise accelerates Zeus VPP™ deployment for large-scale BESS operators facing regulatory and market complexities. Investors recognize batteries as high-return assets for grid balancing, with Capalo unlocking revenues from multiple streams. “Battery energy storage systems are essential… but need intelligent orchestration,” Taskinen noted in prior announcements.
While investor names for this round remain undisclosed, patterns from the seed suggest continued backing from cleantech specialists like VentureFriends. Funds target geographic growth beyond Nordics, tapping Europe’s €100 billion+ BESS pipeline by 2030.
Strategic Applications
This model positions Capalo as a mediator, ensuring stored surplus energy meets peak demand efficiently.
In practice, Zeus VPP™ processes inputs to issue commands: charge during solar peaks, discharge amid evening surges. This supports grids handling 50%+ renewables, as in Finland and Germany.
Industry Context
Europe’s energy transition drives BESS growth, with 30 GW installed by 2025 and 500 GW targeted by 2030. AI optimization addresses key pain points: 15-30% revenue leakage from suboptimal scheduling. Competitors like Kiwi Power and Next Kraftwerke offer aggregation, but Capalo differentiates via end-to-end AI, including BRP services.
Nordic markets—pioneering hourly pricing and intraday trading—provide ideal testing grounds, with exports planned to UK, Germany, and Iberia. Globally, similar platforms aid India’s renewable push, aligning with martech pros tracking enterprise SaaS in cleantech.
Regulatory tailwinds, like EU’s Net-Zero Industry Act, favor VPPs for flexibility markets. Capalo’s approach mirrors AI trends in martech, using predictive analytics for high-stakes optimization akin to ad bidding platforms.
Leadership and Team
Henri Taskinen, CEO, brings energy trading expertise to Capalo’s Helsinki team. The firm’s focus on “prequalification to lifetime value” reflects deep domain knowledge, with testimonials praising profitability gains and renewable contributions. As a LinkedIn standout with 3,600+ followers, Capalo emphasizes scalable SaaS for BESS fleets.
Future Outlook
With €11 million, Capalo eyes 10x growth in managed capacity, targeting 1 GW+ by 2027. Expansion into mature markets like the UK—home to 10 GW BESS projects—offers immediate scale. Long-term, Zeus VPP™ could integrate hydrogen storage and EV fleets, evolving into full energy orchestration.
For martech and SaaS watchers, Capalo exemplifies AI’s enterprise pivot: from marketing personalization to grid-scale decisions. As renewables hit 45% of EU power in 2026, such platforms ensure economic viability, blending profitability with decarbonization.