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Utilities Rally as Fluxco Secures $26 Million for Grid Tech

While investors flock to the steady dividends of utility stocks to buffer against market volatility, a fresh influx of capital is targeting the infrastructure backbone itself. Startup Fluxco has raised $26 million to digitize the procurement of electrical transformers, a bottleneck currently stalling large-scale energy projects.

Utilities Rally as Fluxco Secures $26 Million for Grid Tech

The company, supported by Congruent Ventures and 8VC, deploys artificial intelligence to navigate the complex specifications required for grid components. CEO Brian Tochman notes that the platform transforms a procurement process typically spanning weeks into a streamlined digital workflow. By automating the technical requirements and price discovery, Fluxco aims to resolve the supply constraints currently plaguing energy-intensive data centers and industrial factories.

Operational momentum is already mounting. Fluxco is currently managing orders for over 1,000 transformers across 34 distinct projects. According to Tochman, the startup has recorded approximately $30 million in orders over the last four months alone, highlighting the urgent demand for grid-ready hardware amidst broader economic uncertainty.

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