Netherlands-based energy and climate tech-focused investing platform Carbon Equity announced the launch of Energy Transition Debt Fund I, a new investment fund designed to enable investors to invest in loans to companies developing energy infrastructure in Europe.

The company said that the new fund has a minimum investment threshold of €100,000 (USD$116,000), and aims to raise €$15 million.

Founded in 2021, Amsterdam-based Carbon Equity aims to enable individuals to invest in leading climate-focused private markets funds. Initially focused on private equity and venture capital funds, the new fund forms part of the firm’s revamped platform, targeting funds across all relevant private market asset classes, including private equity, private debt, infrastructure and co-investments.

For the new debt fund, Carbon Equity said that capital will be invested through at least three European private debt funds specializing in providing loans for the energy transition. Through the new fund, the company aims to build a portfolio of more than 45 loans, primarily for European private energy projects, such as solar and wind energy infrastructure, battery storage, biomethane plants and electric vehicle charging systems.

According to the company, Energy Transition Debt Fund I will support companies in the energy transition sector scale up, at a stage when banks and other lenders are often reluctant to invest due to a lack of knowledge of the sector or the complex technology involved, while providing investors diversification and periodic interest and principal payments.

The company added that it has raised over €420 million since 2021 and aims to increase its assets under management to over €1 billion over the next three years.

Jacqueline van den Ende, CEO of Carbon Equity said:

“With the launch of this new fund, we are further reinforcing our mission. We want to help people make good money. That means achieving a healthy financial return by contributing to solving the world’s greatest challenges. At Carbon Equity, investors are given the opportunity to invest, via funds, in a broad portfolio of the world’s most innovative unlisted companies, thereby diversifying their portfolio and spreading the risks.”