European Investment Fund mobilises €2 billion to drive energy efficiency and climate action investments at COP28

• At COP28, EIF announces €200 million of new commitments to four equity funds investing a total of €2 billion to drive climate action and innovative technology developments across Europe.
• The funds will focus on promoting regenerative agriculture, invest in renewable energy infrastructure, and the development of innovative technologies supporting the energy and green transition.
• The financing is backed amongst others by European Investment Bank resources and EIF’s Sustainable Development Umbrella Fund (SDUF) Greentech Fund which catalyses capital from private institutional investors.

At the COP28 climate conference, the European Investment Fund (EIF), Europe’s largest venture capital and private equity financier, announced new investments totalling €200 million to enable four private equity funds to back €2 billion of climate action and environmental sustainability investments. This investment will help to reach the European Union’s climate and energy targets and promote regenerative agriculture.

The new financing contributes to the European Green Deal, the roadmap for Europe to become the first climate-neutral continent by 2050, and REPowerEU, the plan to rapidly reduce dependence on Russian fossil fuels and fast forward the green transition. The EIF contributions also mobilise resources from institutional investors entrusted to the EIF under the SDUF Greentech compartment.

The EIF's commitments include:

• €40 million to Tikehau Regenerative Agriculture, one of the first large-scale private funds dedicated to regenerative agriculture and aims at accelerating the paradigm shift towards a resilient agri-food sector by investing in businesses active through the entire value chain but that promote regenerative practices at scale.
• €50 million top-up to SDCL Green Energy Solutions Fund, an infrastructure fund primarily focusing on investing in greenfield energy efficiency and decentralised renewable energy generation assets, across three key segments: energy efficiency, on-site generation, and renewable solutions.
• €60 million to GET Fund I, fund managed by MVP III Management aiming to scale European climate technology start-ups with a high potential to significantly reduce GHG emissions across the most emitting sectors - energy & resources, industry & manufacturing, mobility & logistics, building & infrastructure.
• €50 million commitment and approval of €10 million top-up to SET Fund IV, a pan-European fund managed by SET Ventures, targeting digital technologies for a carbon free energy system.

The signature event was held jointly with a panel discussion hosted by the EIF on the importance of private-public cooperation and its pivotal role in supporting green transition, showcasing the new commitments alongside ongoing cooperations, such as with Taaleri Energia who was represented at the event by its Managing Director, Kai Rintala. 

"These investments are of paramount importance in the fight against climate change. COP28 provides a crucial platform for global collaboration, and at the EIF, we are committed to leveraging our resources and expertise to drive climate action and technology developments. Through these investments, we aim to make a meaningful contribution to the EU's ambitious climate goals, progressing on many levels, from regenerative agriculture to renewable energy, innovative technologies and the transition to clean energy," said Marjut Falkstedt, EIF Chief Executive.

Speaking at the event, Gelsomina Vigliotti, EIF Chair stated that "Private equity and venture capital play a vital role in mobilizing capital and expertise to support the transition to a low-carbon economy. By investing in climate-focused funds, the EIF demonstrates its commitment to unlocking the potential of these sectors in driving sustainable innovation and transformative change. These investments align with our mission to promote responsible investment practices and contribute to a greener future."

"We are excited to enhance our collaboration with EIF in the ongoing fight against climate change. Following the endorsement for our initial decarbonization strategy by EIF two years ago, we are pleased to once again have their support for our inaugural regenerative agriculture initiative. Through these two key pillars, our focus is on investing to reduce the carbon footprint of the economy. Moreover, by supporting transformative changes in agricultural practices, we aim to champion the most significant carbon sink in existence: the soil", said Pierre Abadie, Group Climate Director at Tikehau Capital.

Taking part in the panel, Jonathan Maxwell, Founder and CEO of Sustainable Development noted that “The Green Energy Solutions Fund (GESF) invests at the development and construction phase of energy efficient projects. Energy efficiency is the largest, fastest, cheapest and cleanest source of greenhouse gas emission and energy cost reductions, as well as improvements in energy security. The fund aligns with the EU’s policy principle of ‘Energy Efficiency First’ and we are delighted and proud that EIF is a cornerstone investor.”

“The GET team has been managing cleantech VC investments for more than a decade. With its clear focus on highly scalable business models, the GET team has successfully demonstrated that impact investing can also deliver financial performance.  Hybrid hardware and software solutions are the key to overcoming the myth that climate technology is too Capex intensive and cannot be scaled by venture capital” said Martin Kröner, Partner at GET Fund. “As cornerstone investor, the EIF played a crucial role in the fundraising of the GET Fund. We appreciated this support and the signal sent to the investors with its commitment”, added Isabelle Canu, Partner at GET Fund.

“At SET Ventures, our belief is that technological innovation is not the primary bottleneck in the transition to clean energy. What we feel is needed now are innovative data-driven business models and ideas that spark the adoption of existing technologies at scale. With the support of EIF we are proud to continue providing capital, community and insights to the visionary founders of today, to build the energy landscape of tomorrow”, said Dr Till Stenzel, Partner at SET Ventures.

Background information:

The European Investment Fund (EIF) is part of the European Investment Bank Group. Its central mission is to support Europe's micro, small and medium-sized enterprises (SMEs) by helping them to access finance. The EIF designs and develops venture and growth capital, guarantees and microfinance instruments which specifically target this market segment. In this role, the EIF fosters EU objectives in support of innovation, research and development, entrepreneurship, growth and employment.

Tikehau Capital is a global alternative asset management group with €42.0 billion of assets under management (30/09/2023). It has developed a wide range of expertise across four asset classes: private debt, real assets, private equity and capital markets strategies, as well as multi-asset and special opportunities strategies. Deeply rooted in the real economy, Tikehau Capital provides bespoke and innovative alternative financing solutions to companies it invests in and seeks to create long-term value for its investors, while generating positive impacts on society. Controlled by its managers alongside leading institutional partners, Tikehau Capital is guided by a strong entrepreneurial spirit and DNA, shared by its 757 employees across its 15 offices in Europe, Middle East, Asia and North America.

Sustainable Development Capital LLP (SDCL) was established 16 years ago and has become one of the largest specialist investors in energy efficiency projects in the world, with a portfolio involving over $2 billion of investments and commitments and covering over 50,000 properties across Europe, the United States and other international markets.

The Green European Tech Fund (GET) is a venture capital fund based in Munich and Berlin fostering the growth of European sustainable tech startups.  The GET Fund backs startups that develop transformative technologies, have highly scalable business models with hybrid hardware-software solutions and have the potential to fundamentally disrupt value chains in today’s major industry verticals as well as to significantly improve the environmental impact. The GET Fund works with the Triple Top Line concept, a science-based tool to assess the impact potential of each business model and to support holistic value creation in the portfolio companies along the targets of economic wealth, environmental prosperity, and social equity.

SET Ventures, invests in digital technology for a carbon-free energy system. Since its founding in 2007, the fund hasbacked Europe’s pioneering founders with capital, community, and insights SET Ventures invests in companies with sustainable solutions and a strong digital DNA leading the systemic change of how energy is generated, distributed, stored, and consumed in sectors such from distributed infrastructure, energy retail, buildings, mobility, and industry as well as enabling technologies.

Press contacts

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