Solar Companies Raise $16.9 Billion in Corporate Funding in 1H 2026, a 56% Year-over-Year Increase
Mercom Capital Group, a global clean energy communications and consulting firm, released its report on funding and merger and acquisition (M&A) activity for the solar sector in the second quarter (Q2) and first half (1H) of 2026.
To learn more about Mercom’s 1H and Q2 2026 Solar Funding and M&A Report, visit: 1H and Q2 2026 Solar Funding and M&A Report - Mercom Capital Group.
Total corporate funding, including venture capital and private equity funding (VC), public market, and debt financing in 1H 2026 totaled $16.9 billion, up 56% year-over-year (YoY) compared to the $10.8 billion raised in 1H 2025. The number of deals increased 23% YoY with 96 deals in 1H 2026 compared to 78 during the same period last year.
CHART: Solar Corporate Funding in 1H 2022-1H 2026
"Solar financing and acquisition activity remained strong in the first half of 2026 as developers accelerated project execution ahead of the construction-start deadline to preserve tax credit eligibility. Debt financing remained the primary source of capital, while project acquisitions increasingly targeted development-stage projects that could advance toward construction and strengthen strategic project pipelines," commented Raj Prabhu, CEO at Mercom Capital Group. "Although policy and trade uncertainty continued to influence investment decisions, investors and lenders remained steadfast, backing companies with strong fundamentals, high-quality project pipelines, and clear execution strategies."
In 1H 2026, VC funding activity decreased 40% YoY with $1.5 billion compared to $2.5 billion in the first half of 2025. Deal activity increased 9% YoY with 35 deals in the first half of 2026 compared to 32 in 1H 2025. In Q2 2026, global VC funding activity declined 60% YoY with $445 million raised in 18 deals compared to $1.1 billion in the same number of deals in Q2 2025.
CHART: Solar VC Funding 1H 2022-1H 2026
The top VC deals in 1H 2026 were the $343 million raised by Inox Clean Energy, $180 million raised by Nexamp, $165 million raised by Clean Max Enviro Energy Solutions, $150 million raised by Amarenco, and $118 million raised by GREW Solar.
A total of 135 VC investors participated in solar funding in 1H 2026.
Solar public market financing in 1H 2026 totaled $2.2 billion in 17 deals, a 371% increase compared to $467 million in five deals in 1H 2025.
Solar debt financing activity in 1H 2026 reached $13.2 billion in 44 deals, a 69% increase compared to 1H 2025 when $7.8 billion was raised in 41 deals.
In 1H 2026, three securitization deals totaled $540 million, a 66% decrease YoY compared to $1.6 billion raised in four deals in 1H 2025.
Solar corporate M&A activity increased with 57 transactions in the first half of 2026, compared to 50 transactions in the first half of 2025. The largest deal was by INOX Solar Americas, a U.S.-based renewable energy company backed by INOX Clean Energy, which signed an agreement to acquire 100% of the assets of Boviet Solar Technology’s U.S. subsidiary, Boviet Solar Technology (North Carolina), for approximately $750 million.
CHART: Solar M&A 1H 2022-1H 2026
In 1H 2026, 134 solar project acquisitions totaling 25.2 GW were transacted, compared to 106 project acquisitions totaling 19.9 GW in 1H 2025. Deal activity increased 26% YoY, while acquired megawatts rose 27%.
CHART: Solar Project Acquisitions by GW 1H 2022-1H 2026
Project Developers and IPPs were the most active acquirers of solar projects in Q2 2026, picking up 4.4 GW, followed by Investment Firms with 2.2 GW. Other buyers, including energy suppliers, engineering, and construction companies, acquired 180 MW, while Utilities acquired two projects totaling 54 MW.
This report covers 347 companies and investors. It is 70 pages long and contains 64 charts, graphs, and tables.
To learn more about Mercom’s 1H and Q2 2026 Solar Funding and M&A Report, visit: 1H and Q2 2026 Solar Funding and M&A Report - Mercom Capital Group.
Mercom Capital Group | https://mercomcapital.com/clean-energy-reports/.