Partech closes 300M impact fund for European industrial and climate tech

"Europe has no shortage of early-stage climate tech funding. What it has historically lacked is the growth capital to take companies that have found product-market fit and help them scale across the continent's fragmented market, the gap between a promising Series A and a company that can credibly claim to be transforming an industrial value chain."

"The Partech Impact Fund will target 15 B2B companies with revenues above €10M, writing growth-stage cheques into businesses operating across clean manufacturing, sustainable agriculture, green construction, new mobility, economic empowerment, and digital health."

"The fund is registered as an Article 9 fund under the EU's Sustainable Finance Disclosure Regulation, meaning it is subject to binding requirements to demonstrate that sustainability objectives are central to its investment process, not merely incidental."

"Partech has tied its carried interest, the share of profits returned to fund managers, to impact performance metrics, not just financial returns, representing a notable structural innovation in aligning manager incentives with measurable sustainability outcomes."

Partech, a Paris-based venture firm, closed its debut impact fund at €300M to address Europe's gap in growth-stage climate tech funding. The fund targets 15 B2B companies with revenues exceeding €10M across clean manufacturing, sustainable agriculture, green construction, new mobility, economic empowerment, and digital health. The investor base includes Bpifrance, the European Investment Fund, and strategic corporate investors. The fund is registered as an Article 9 fund under the EU's Sustainable Finance Disclosure Regulation, requiring binding sustainability commitments. Notably, Partech tied its carried interest to impact performance metrics alongside financial returns, marking an innovative approach to aligning manager incentives with measurable environmental and social outcomes.

Read at TNW | Investors-Funding