Sustainable infrastructure company Generate Capital announced today that it has raised $2 billion of corporate equity from a group of leading global institutional investors and long-term oriented pension funds, aiming to accelerate and scale investments in sustainable infrastructure and climate solutions.
The capital raise was led by existing investors including AustralianSuper and investment company QIC, with participation from new investors Harbert Management Corporation, Aware Super and CBRE Caledon, and other existing investors Railways Pension of the UK, AP2 of Sweden, and The Wellcome Trust.
Scott Jacobs, chief executive and co-founder of Generate, said:
“Generate is purpose-built to deploy sustainable infrastructure at scale and we are thrilled to reach this milestone that builds on our strong track record and enables our next phase of growth. Successful infrastructure projects require a long time horizon, dedicated operational expertise, and a commitment to deliver returns for all of the many stakeholders involved in infrastructure. The urgent need to deploy proven climate solutions and get the world to a Net Zero pathway has never been greater. We are grateful to have a truly values-aligned set of investors committed to our mission of rebuilding the world.”
Founded in 2014, Generate Capital provides an Infrastructure as a Service model, managing infrastructure assets, rather than requiring customers to make large capital commitments in order to meet climate and sustainability goals. Generate Capital has built a $2 billion portfolio of infrastructure assets and owns and operates more than 2,000 assets globally, including community solar, energy efficiency, microgrids, energy storage, electric mobility, hydrogen, wastewater, and waste management.
The company stated that the new capital will allow it to continue expanding its reach into new sectors and regions to meet the rising demand for sustainable infrastructure. The company recently launched its Generate Credit unit, aimed at providing credit solutions for green projects and organizations, and is currently pursuing geographic expansion beyond the North American region.
Ross Israel, Head of Global Infrastructure at QIC, said:
“We are very pleased to continue partnering with Generate as it grows its sustainable infrastructure platform across power, mobility, waste, and water. This follow-on investment reinforces QIC’s sector-centric, thematic-based investment strategy across energy transition, decarbonization, and distributed infrastructure. We look forward to further leveraging our infrastructure sector expertise to accelerate the expansion of Generate’s high-quality platform across dynamic and rapidly growing markets for its customers.”