Overstory has successfully closed a $43 million Series B funding round to advance its vegetation management technology. The investment was led by Blume Equity, a European growth equity firm focused on climate-tech. They were joined by Energy Impact Partners (EIP) and a significant group of existing backers, including B Capital, Semapa Next, Pale Blue Dot, CapitalT, Convective Capital, Bentley Systems, MCJ, and Moxxie Ventures.

This fresh capital arrives after a period of strong growth for the company. Overstory now serves six of the ten largest utilities in the Americas.

The funds are earmarked to speed up the development of their AI risk models and to expand the company’s reach into new global markets.

Addressing a Growing Risk

Vegetation management is a massive challenge for utility companies. Trees and plants are the leading cause of power outages and often serve as the ignition point for wildfires. Managing this risk is usually the single largest operating expense for a utility. The problem is getting worse due to rising labor costs, higher tree mortality rates, and more frequent extreme weather events.

Utilities need precise data to handle these threats effectively. Overstory provides this by using high-resolution satellite data combined with artificial intelligence. This technology allows operators to pinpoint risks down to the individual tree level.

“Innovation and technology have become the pillars of progress when it comes to wildfire prevention. Satellite data, AI and the vegetation-management intelligence we get from companies like Overstory are transforming how utilities think about wildfire prevention. The details are in the data, and that precision allows us to deploy our crews where wildfire risk is greatest.”

Andy Abranches, VP of Wildfire Mitigation at Pacific Gas and Electric Company (PG&E)

Targeting Fuels and Expanding Tech

With the new funding, Overstory is launching the next version of its Wildfire Intelligence product. This update features a proprietary Fuel Detection Model. Unlike standard public fire risk maps, this tool identifies specific areas across a network containing high-risk fuels. It shows utilities exactly where dry vegetation could turn a small spark into a major fire.

The goal is to move beyond reactive trimming. The software recommends specific actions that offer the highest return on safety. To support this, the investment will lean heavily toward engineering. While specific percentages may evolve, the focus is on ensuring these models deliver the actionable recommendations utilities need to prevent outages and wildfires.

“Utilities are on the front lines of keeping communities safe, and they’re eager to use the best data available. When we talk about how satellites and remote sensing can identify dying trees and wildfire risk, they lean in. We’re grateful to our forward-thinking investors for supporting this next chapter – expanding our intelligence product to address storms and wildfires, helping utilities build a more resilient and reliable grid.”

Fiona Spruill, CEO of Overstory

Leadership and Company Growth

Indra Den Bakker and Anniek Schouten founded the company with a background in data science and a plan to assess forests from space. They initially won awards for tracking deforestation, but the founders soon pivoted to a more urgent use case: utility resilience. They realized that the contact between vegetation and power lines is a primary cause of wildfires, a risk that is intensifying from California to southern Europe as the climate changes.

Previously, utilities relied on helicopters and drones to monitor their sites—a slow, expensive process. Because a grid often spans tens of thousands of miles across remote terrain, scanning a network just once could take years. Overstory provides a system-wide view in a fraction of the time and cost, giving operators objective data to reduce outage risks.

Founded seven years ago, Overstory has grown into a global team of more than 80 people. The staff includes experts from 16 different nationalities, ranging from data scientists to certified arborists. The company operates with headquarters in both Boston and Amsterdam.

To help guide this expansion, Overstory has appointed Tamara Mendelsohn as Chief Operating Officer. Mendelsohn is a seasoned operator who previously served as CMO at Eventbrite, where she helped scale the company from its seed stage through to its IPO.

Investor Confidence

Blume brings specific expertise in guiding early-stage climate companies through high-growth phases. They join a strong roster of European backers, including Semapa Next, Pale Blue Dot, and CapitalT. Beyond capital, this collective network supports Overstory as the company assesses strategic new markets to expand its reach. These investors recognize that the technology offers a practical solution to a problem costing the industry billions.

“The companies that will drive the greatest impact on our planet are those that deliver climate solutions with real economic value. Overstory exemplifies this — transforming satellite data into actionable insights that help utilities both prevent climate-related disasters and drive operational efficiencies. Their customer-first approach and leadership in AI has enabled them to develop cutting-edge, yet highly practical, solutions that deliver a tangible return on investment. This is exactly the kind of scalable, high impact climate solution we’re proud to support at Blume Equity.”

Michelle Capiod, Co-Founding Partner at Blume Equity

Origianl Creator: Ekaterina Pisareva
Original Link: https://justainews.com/companies/funding-news/why-investors-just-bet-43m-on-overstorys-wildfire-ai/
Originally Posted: Tue, 25 Nov 2025 12:32:26 +0000