climate solutions

Asset owners and their investment partners have begun in earnest to invest in climate solutions; are they missing a piece of the puzzle?

Private capital has started flowing towards climate finance but is unevenly spread across strategies and sectors, leaving a growth equity 'missing middle', finds a research report by CREO.

Public equity investments comprise the majority of CalPERS' commitments so far.

TowerBrook Delta was launched in 2021 and has so far raised $300m; LiftWerx, an up-tower crane technology company servicing wind turbines, is its third deal.

If 20% of expected climate investment is accounted for by private markets, TPG executive chairman Jim Coulter says, 'spending... will be bigger than the entire private equity industry is today'.

'With a larger share of their wallet in cash or public equity that trades at all-time highs, they have ample liquidity to commit to private equity', says co-founder and CEO Jacqueline van den Ende.

Blackhorn Ventures sees impact opportunity and investor demand for asset-light, capital-light software solutions in industrial decarbonisation – swimming against the growing tide of asset-heavy finance.

Apollo's private credit assets 'demonstrated lower transition risks' than the firm's other private asset classes, according to its 2023 sustainability report.

The investors have joined existing backers in a $69m funding round for Neustark.

UPP's climate solutions investment target is proportionally large: the institution has C$11.7 billion in assets.