HomeNewsKUGU Raises €8.5M for Decarbonisation

KUGU Raises €8.5M for Decarbonisation

KUGU, a leading German PropTech specializing in digital energy solutions for real estate, has secured €8.5 million in Series A funding. The investment round was led by Tengelmann Ventures and Gewobag ID, alongside participation from industry veterans Michael Lowak (former CEO Germany at G+E GETEC Holding GmbH) and Axel Müller (former Management Board Member at QUNDIS GmbH), both of whom have been actively supporting KUGU as advisory board members.

Existing investors Wecken & Cie., IBB Ventures, and Future Energy Ventures also reinvested, reaffirming their confidence in KUGU’s growth trajectory. The new capital will fuel the expansion of KUGU’s digital product portfolio, as well as scaling its sales and operations.

Optimizing Energy Efficiency Across the Real Estate Sector

Kugu Digital Boiler Room

Founded in 2018, KUGU has developed a proprietary technology platform that helps real estate companies optimize energy consumption and meet CO₂ reduction targets. The company’s smart energy management solutions function as an intelligent extension of digital boiler rooms, enabling real-time monitoring and automated system optimization. By leveraging advanced data analytics, KUGU’s platform has demonstrated energy savings of up to 30%, with costs fully allocatable to tenants—an attractive proposition for landlords and property managers.

Currently, KUGU manages more than 12,000 buildings across Germany, providing energy efficiency solutions to over 60 clients, including major housing companies, municipal utilities, and metering service providers. In the past year alone, KUGU helped save 25 million kWh—equivalent to the annual energy consumption of approximately 7,000 households.

Discover their digital boiler room solution.

Investor Confidence in KUGU’s Market Leadership

The company’s strong market position and commitment to innovation have attracted backing from key investors.

“With its expanding product portfolio and extensive experience working with major housing associations, KUGU has solidified its role as a leading innovator in digital energy solutions for real estate. We are excited to support the team’s growth with our expertise in retail and commercial real estate.”
— Alexander Greis, Investment Manager, Tengelmann Ventures

“KUGU is a long-term partner bringing deep industry expertise and agility to help drive decarbonization in the real estate sector. Their smart digital solutions are a game-changer.”
— Sven Harke-Kajuth, Managing Director, Gewobag ID

Scaling to 50,000 Buildings & Achieving Profitability

KUGU Management Directors Christopher von Gumppenberg and Niko Mikac, Picture: Kateryna Myronenko

With this fresh investment, KUGU aims to expand its platform to optimize 50,000 buildings, a milestone that will contribute to saving more than 100,000 tons of CO₂ emissions annually. The company’s broader goal is to accelerate growth and achieve profitability in the coming years.

“This funding allows us to build on our momentum and scale our impact. By optimizing 50,000 buildings, we will significantly advance decarbonization in the real estate sector. Our next key milestone is reaching profitability.”
— Niko Mikac, Managing Director, KUGU

As European real estate faces mounting ESG regulations and net-zero commitments, KUGU’s scalable and data-driven solutions position the company at the forefront of the industry’s digital transformation.

Follow KUGU on LinkedIn to see their latest updates.

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