Generation Investment Management has closed its Climate Solutions Fund with $683 million in capital commitments. The fund will invest in both public and private cleantech companies, and is chaired by Al Gore.
Generation Investment Management (“Generation”), the London-headquartered fund management business dedicated to long term investment and integrated sustainability research, has today announced that it has successfully closed its Climate Solutions Fund at $683 million. The Climate Solutions Fund is a 'cross over' fund that will invest in a range of private and public companies with an enduring capability to create value and sustain a competitive advantage by being part of the solution to the climate crisis.
The objective of the Climate Solutions Fund, which has been raised purely from Generation's existing investor base, is to generate significant long-term returns by investing in climate change solutions. The Fund will invest in areas where Generation's proprietary research expertise provides significant insight and will include renewable energy technologies, building efficiency, cleaner fossil energy, sustainable agriculture and carbon markets.
David Blood, Managing Partner of Generation, said today: “Generation believes that sustainable development that addresses the climate crisis will be a significant driver of industrial and economic development over the coming decades. However, there is clearly a significant gap between the capital needed and the capital currently deployed to create enduring solutions to the climate crisis. As a result, investing in scalable solutions now is critical and our Climate Solutions Fund intends to do just that. I am particularly pleased that we have succeeded in raising this fund from existing clients which represents an endorsement of our research-driven approach, as well as our performance.”
With investments from the Climate Solutions Fund, Generation will seek to serve as an active shareholder. Research, development and investments in climate solutions are rapidly evolving and Generation believes it can provide valuable insight and perspectives to assist companies in shaping and implementing their strategic direction. Where appropriate, Generation will serve on the Board of Directors of portfolio companies.
Generation announced in November 2007 a collaboration with venture capital firm Kleiner Perkins Caufield & Byers (“KPCB”). This collaboration includes the sharing of insight into relevant markets, technology, scientific advances and understanding, the referral of investment opportunities, and the sharing of due diligence efforts, in addition to other mutually beneficial activities.
John Doerr, Partner at KPCB and a member of Generation's Advisory Board said: “Solving the climate crisis is the most critical problem facing the world today and to solve it will require strong alliances to find, fund and develop the technology required. Our collaboration with Generation is already uncovering opportunities that we believe will play a major role in addressing the challenges of climate change.”
Notes to editors
Generation Investment Management LLP is dedicated to long-term investing, integrated sustainability research, and client alignment. It is an independent, private, owner-managed partnership established in 2004 and with offices in
Generation aims to buy high quality companies at attractive prices that will deliver superior long-term investment returns. Sustainability research plays an important role in forming its views on the quality of the business, the quality of management and valuation. Its performance fees align its interests with that of its clients by being based on long term performance.
In addition to the Climate Solutions Fund, Generation manages a long only, concentrated global equity strategy.
The company is chaired by former Vice President of the United States Al Gore, and its Managing Partner is David Blood.
Generation Investment Management LLP is authorized and regulated in the