- The fund will provide early-stage, high-risk capital to support promising clean energy businesses in South-East Asia to accelerate low-carbon transition.
- The $127m first close is supported by a mix of DFI partners and private impact investors.
British International Investment (BII), the UK’s development finance institution and impact investor, today announced its commitment to accelerate the low-carbon transition in South-East Asia with a $13.5 million investment in South-East Asia Clean Energy Fund II (SEACEF II), managed by Singapore-based fund manager Clime Capital.
SEACEF II is the first blended investment fund established in South-East Asia to provide early-stage high-risk capital to support promising businesses within the renewable energy generation, energy efficiency, electric mobility, and electrical grid sectors. The fund will also offer additional capital to accelerate the scale-up of its portfolio companies.
The fund’s first closing is backed by junior first-loss equity investors, including Allied Climate Partners, Australian Development Investments (an Australian Government initiative), the Global Energy Alliance for People and Planet (GEAPP), and Impact Assets, among others.
Senior equity investors aside BII, include the Cisco Foundation, FMO, the International Finance Corporation (IFC), Norway’s Norfund, REI Co-op, and Sweden’s Swedfund International.
BII’s commitment to SEACEF II forms part of the DFI’s objective in South-East Asia, to provide the capital needed to support the region’s green energy transition. It is also part of BII’s overall goal to target 30 per cent of total new commitments to climate finance.
Srini Nagarajan, Managing Director and Head of Asia at BII, commented: “Unlocking the potential of clean energy solutions and businesses is a priority for BII to help address climate change. It is part of our strong commitment to support sustainability goals in the region through climate finance. Through SEACEF II, BII is delighted to be part of this innovative blended finance vehicle to mobilise more capital towards accelerating sustainable development in Southeast Asia.”
Mason Wallick, Chief Executive Officer and Co-Founder of Clime Capital said: “As time passes without sufficient progress in developing the critical resources to reduce carbon emissions, the planet needs more businesses focused on accelerating the low carbon transition to thrive. Clime Capital has proven that our unique combination of early-stage investment ability and clean-energy expertise applied through dedicated on-the-ground teams in South-East Asia can make a real difference.”
The commitment will contribute to the United Nations’ Sustainable Development Goals on Affordable and Clean Energy (SDG 7) and Climate Action (SDG 13).
Notes to editors
British International Investment: Nia Tam | [email protected]