Stockholm-based EnergyTech startup Elvy has closed a €5.9 million funding round as it looks to scale its subscription-based home energy model for households across Europe.
The round was led by Essential Capital and Daft Capital, with participation from Mathias Kamprad and other angel investors. The fresh equity funding comes months after Elvy secured a €500 million credit facility from Scayl, a Swedish debt-funding platform. The company says that facility is already in place and will be used for large-scale hardware deployment.
Elvy is building its business around a simple promise for homeowners: solar panels, heat pumps, battery systems, installation, maintenance and household electricity needs bundled into one fixed monthly subscription. Instead of asking households to buy and manage the equipment themselves, Elvy owns the hardware and takes operational responsibility under a 15-year contract.
The company was founded in 2023 by Johan Outinen and David Wedar. In just over 18 months, Elvy says it has built 23 MW of capacity through its distributed energy park across Sweden. The company also reported that its subscription model grew 10 times in 2025.
Elvy’s model arrives at a time when household energy costs and grid stability remain major concerns in parts of Europe. The company is positioning itself not just as a home energy provider, but as a distributed infrastructure player that can help households produce, store and manage electricity more efficiently.
CEO Johan Outinen said Sweden is facing an electricity crisis and that new nuclear plants are still more than a decade away. He added that Elvy has already built the technology needed for a stable Swedish energy system and lower household electricity costs.
“Together with our partners, we are ready to invest over €1 billion and secure 600 MW within three years,” Outinen said.
A key part of Elvy’s proposition is its proprietary AI engine, which the company says manages and optimises the energy generated and consumed by households. The idea is to make home energy usage less dependent on price volatility and supply uncertainty, while giving customers a predictable monthly cost.
The company also announced that business leader and investor Knut Frängsmyr has joined as Chairman of the Board. Frängsmyr has held roles at Klarna, Epidemic Sound and Qred Bank.
For Elvy, the latest funding round is not just about expansion capital. It strengthens a model that combines consumer subscriptions, clean-energy hardware and long-term infrastructure financing. If the company can scale as planned, it could help shift how European households access solar power, battery storage and heating systems without taking on the upfront cost of ownership.
The company says its goal is to make the service available to every home in Sweden.
