Altérra-backed climate fund raises $2.4bn

Wam

A climate-focused fund backed by Altérra – a $30 billion UAE-based climate investment company – has raised $2.4 billion, nearly half of its target, to support clean energy projects across emerging markets.  

Launched at Cop28 in Dubai last year, the catalytic transition fund includes a foundational $1 billion commitment from Altérra.

NYSE-listed Brookfield Asset Management has pledged 10 percent of the fund’s target. New partners in the initiative include Canada’s Caisse de dépôt et placement du Québec, Singapore’s GIC, Temasek and Prudential, among others.

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Initial investments from the fund are expected to begin later this year, with a traditional first close anticipated by early 2025.

The fund is focused on deploying capital into clean energy and transition assets across emerging markets, including the Middle East, South and Central America, South and Southeast Asia and Eastern Europe.

In February, Altérra’s CEO Majid Al Suwaidi said the fund aims to catalyse the investment of $250 billion of private capital by 2030.

Nations face an annual $4.4 trillion investment gap by 2030 in meeting energy transition goals set by the UN, according to a report last year.