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May 03, 2007
We WANT Alternative Energy!
Venture Capital Rushes Into Alternative Energy - New York Times
Money is flowing into alternative energy companies so fast that “the warning signs of a bubble are appearing,” according to a report on investment in clean technology by a New York research firm, Lux Research.
Matthew M. Nordan, president of Lux, said that the amount of venture capital put into clean energy investments last year was $1.5 billion, up 141 percent from the $623 million of 2005, and that in the same period, initial public offerings by companies in this sector rose to $4.1 billion, from $1.6 billion in 2005.
The initial public offerings were primarily in companies involved in solar power or biofuels, according to the report, to be released today.
The investment is driven by fear that the peak of oil production is approaching, he said, and by the possibility of new taxes or other restraints in an effort to curb global warming gases, principally the carbon dioxide that is given off by burning fossil fuels.
Money is “sitting on the shelf” waiting to be invested, and investors are now chasing entrepreneurs, he said, rather than the other way around.
Posted by Sun at May 3, 2007 07:20 PM