Sustainable investment growth equity platform Planet First Partners announced today that it has raised €450 million at the second close of its second funding round, following the latest commitment to the fund by Ingka Investments, the investment arm of IKEA parent Ingka Group.
The fund significantly surpassed its initial target size of €350 million, with Planet First Partners “significant interest” in its investment mandate from new investors.
Founded in 2020, Planet First Partners invests in businesses that promote and encourage healthier lifestyles and develop better ways of protecting the environment, primarily focusing on European companies. Portfolio companies include industrial electrolysis technology for renewable hydrogen and syngas company Sunfire, and sustainable data center cooling technology provider Submer.
The fund is classified as Article 9 under the EU’s Sustainable Finance Disclosure Regulation (SFDR), the most stringent SFDR classification, reserved for funds which have sustainable investment as their objective.
According to the firm, the capital raised in the funding round will be invested in growth-stage companies with proven products and services, with technologies helping to deliver the transition to a sustainable economy. The fund will make investments of up to €50 million, taking minority positions as a lead or co-lead investor, with a board seat and strong minority rights.
Frédéric de Mévius, Executive Chairman at Planet First Partners, commented:
“There are a growing number of innovative, growth-stage companies that will be able to play a significant role in the transition of our economy, with the appropriate backing and operational support. We’re excited about these opportunities and are building our team in order to realise these and optimise value creation for our investors and portfolio companies.”