Carbon management platform provider Carbon Direct announced today that it has raised $60 million in growth capital, in a funding round co-led by BlackRock and Temasek’s Decarbonization Partners, and energy & energy transition-focused investor Quantum Energy Partners.
Founded in 2019, Carbon Direct provides an end-to-end carbon management platform aimed at enabling companies to achieve their climate goals. The company’s services and software provide project evaluation for the creation of quality carbon credits, supply chain emissions reduction, low carbon fuels and materials procurement, and the facilitation of large-scale carbon credit and removal procurement, with plans to launch a carbon footprint measurement tool. The Carbon Direct team has grown to over 60 people, including more than 30 scientists.
According to the company, proceeds from the funding round will be used for further investment in its carbon management platform.
Jonathan Goldberg, CEO of Carbon Direct, said:
“Carbon Direct’s platform turns industry-leading carbon science into action through software and market expertise. We are excited to see the growth in net zero commitments from leading companies and governments as well as recent policy momentum. Without scientific expertise, carbon commitments will have far less impact than they could. This investment from Decarbonization Partners and Quantum Energy Partners will help us scale the work we are already performing for industry leading clients.”
Decarbonization Partners was launched last year by BlackRock and Temasek as a venture capital and private equity partnership to invest in companies providing technologies and solutions that help accelerate the transition to a net zero economy by 2050. The partners committed a combined US$600 million in initial capital to invest in multiple funds launched by the partnership, and set a $1 billion fundraising target for the first fund.
Dr. Meghan Sharp, Global Head of Decarbonization Partners, said:
“The transition to a net zero reality requires organizations to act boldly in managing their carbon emissions. Carbon Direct Inc. brings together a unique combination of science and software, enabling organizations to implement highly effective climate action at scale.”
Quantum Energy Partners’ Jeffrey Harris added:
“Organizations will need to significantly change how they manage their carbon footprint in order to meet their climate goals. We believe the combination of science and market expertise uniquely positions Carbon Direct to enable organizations to operationalize carbon management and have a meaningful impact on climate change.”