Heat pump startup Quilt raises $20M Series B to expand sales

Quilt, a startup based in Redwood City, California, has successfully raised $20 million in its latest Series B funding round. This investment follows a previous Series A round in April 2024, during which the company secured $33 million. The latest funding round was spearheaded by Energy Impact Partners and Galvanize, with additional contributions from Alumni Ventures, Gradient Ventures, Incite Ventures, and Lowercarbon Capital. Notably, Veery Maxwell from Galvanize and former Nest CFO Tom vonReichbauer will join Quilt's board of directors, a fitting move given the backgrounds of many team members who previously worked at Nest. This new capital is earmarked for expanding Quilt's market presence. As co-founder and CEO Paul Lambert shared on the company’s website, Quilt has already installed close to 1,000 heat pump units across 16 U.S. states and five Canadian provinces. Quilt stands out in the competitive heat pump industry by taking a unique software- and design-driven approach, challenging established players. An example of this innovative strategy includes an over-the-air software update that significantly enhanced the performance of previously installed heat pumps, boosting their efficiency by over 20%. With this latest funding, Quilt is poised to continue its mission of transforming the heat pump market.