Integrated home battery systems and virtual power plant (VPP) software provider, Lunar Energy, has raised $102 million in a Series D funding round led by B Capital and Prelude Ventures.

Lunar Energy will utilize the funding to expand its hardware and software products. It will also use the funding to scale its AI-driven distributed power software platform, Lunar Gridshare. Lunar Energy said this platform is managing major distributed resources/VPP programs in the U.S.

The company had earlier raised $130 million in an unannounced Series C funding round led by Activate Capital. Funding from these two rounds totaled $232 million.

These funding rounds also included participation from DCVC, Piva Capital, Leitmotif, Sunrun, Itochu Corporation, and Q Capital Partners.

Lunar Energy is managing 650 MW of distributed energy devices.

The company’s major clients include residential solar and battery storage provider Sunrun, which utilizes the Gridshare platform for its distributed power plants in multiple markets, such as New England, Hawaii, and Puerto Rico. The platform is also used by non-profit electricity procurement entity, California Community Choice Aggregators, to develop and deploy new distributed power programs across the state.

Lunar Energy’s clients also include utilities and retailers in Europe and Asia.

The company said its VPP earned customers an average of $464 per customer. It also claimed that the software provided customers with an additional $338  in savings compared to a standard home battery operating mode.

Venture capital investment in energy storage gained momentum in 2025, rising 30% year over year to $4.8 billion across 75 deals, even as total corporate funding for the sector declined 19% to $16.2 billion, according to Mercom Capital Group’s Annual and Q4 2025 Funding and M&A Report for Energy Storage.

Overall corporate funding totaled $16.2 billion across 119 deals in 2025, down from $19.9 billion raised through 116 deals in 2024. Despite the decline in total capital raised, deal activity increased 3% during the year, indicating continued investor engagement in the sector.