Clean Growth Fund reaches €94.5M for UK climate startups
Clean Growth Fund has reached a €94.5 million second close as institutional pension capital moves further into UK climate venture.
UK climate venture is attracting more institutional capital from investors that can tolerate longer technology and commercialisation cycles.
What happened
Clean Growth Fund announced a €94.5 million second close for Fund II, taking it more than halfway toward a €174 million target. The vehicle invests primarily in Seed-to-Series-A UK companies developing technologies to reduce emissions. Pension investors are among the new and expanded LP commitments.
Why it matters
Climate startups often need more patient follow-on capital than pure software companies. Pension participation can widen the pool of long-duration capital available to companies scaling hardware, industrial systems and energy technologies.
The bigger picture
Climate venture is becoming more institutionally diverse. The sector increasingly depends on blending traditional VC with pension, infrastructure, government and project-finance capital as companies move from prototypes into commercial deployment.