Verdane Secures $760m for Landmark Energy Transition Fund
The fund will target investments in companies focused on decarbonization, energy transition, and resource efficiency
European private equity firm Verdane announced on Wednesday that it raised €700 million ($760.83 million) for its second fund focused on businesses involved in decarbonization.
Verdane Idun II reached its maximum limit, more than doubling the size of its predecessor, the €300 million Idun I fund.
According to a statement, Idun II will invest specifically in energy transition and resource efficiency.
Idun funds typically invest between €20 million and €100 million into ambitious companies working toward creating a more sustainable future.
“All investments from Idun II pass strict sustainability criteria to measure their positive environmental impact, such as a carbon avoidance target of a minimum of 5,000 tonnes of CO2 avoided per €1 million invested,” the statement said.
Investors in the fund include Norway’s state climate investment fund, Nysnø Climate Investments; Banque de Luxembourg; the European Investment Fund; Dutch pension manager MN; and Finnish investor Tesi.
Other investors in Idun II include global private and public pension funds, leading university endowments, foundations, insurance companies and family offices.
Nearly a third of the investor base comes from the United States.
Earlier this year, the company closed its mid-market growth buyout fund Edda III at its €1.1 billion hard cap, taking Verdane’s assets under management to over €8 billion.
The third fund family, Freya, has a more than 20-year track record and is currently investing out of its Freya XI fund with a highly differentiated, versatile mandate of investing in both direct portfolios and single companies.