ALTÉRRA, one of the world’s largest private investment vehicles for climate finance, and BBVA said they have formed a new partnership centered on a climate co-investment vehicle that ALTÉRRA plans to launch, with BBVA committing $250 million as a proposed strategic limited partner, subject to regulatory approvals.
The planned vehicle, expected to be domiciled in Abu Dhabi Global Market (ADGM), would consolidate existing co-investments from ALTÉRRA’s Acceleration Fund into a dedicated structure managed by ALTÉRRA as it moves into what it described as a next phase of growth focused on mobilizing third-party capital at scale and expanding its institutional network.
The fund—referred to as the ALTÉRRA Opportunity Fund—will target a diversified global strategy spanning climate-aligned infrastructure, private equity and private credit, with a mandate to pursue risk-adjusted returns alongside climate impact across both advanced and emerging markets. Planned investment themes include energy transition, industrial decarbonization, climate technology and sustainable living, with coverage expected to include North America, Latin America and Europe, as well as other growth markets.
The partnership was announced during Abu Dhabi Sustainability Week by H.E. Dr. Sultan Al Jaber, Chairman of ALTÉRRA, and Carlos Torres Vila, Chair of BBVA.
For BBVA, the commitment aligns with a broader effort to expand its sustainable finance footprint and deepen its presence in Middle East climate-finance hubs. The bank has operated a representative office in Abu Dhabi since 2013 and recently received in-principle approval from ADGM’s Financial Services Regulatory Authority for the opening of a BBVA branch in Abu Dhabi, a move intended to broaden its wholesale banking offering and strengthen local coverage of corporate and institutional clients.
BBVA said it has invested roughly €300 million in climate funds focused on decarbonization as part of its global climate strategy. Separately, the bank has set a target to channel €700 billion in sustainable business between 2025 and 2029, after reaching its prior €300 billion goal one year ahead of schedule.
ALTÉRRA was launched at COP28 with a $30 billion commitment from the UAE and says it aims to mobilize $250 billion globally by 2030 to finance the “new climate economy” and accelerate the climate transition. Its structure includes a $25 billion Acceleration Fund focused on large-scale transition projects and a $5 billion Transformation Fund designed to catalyze investment into high-growth climate opportunities in underserved markets.
BBVA’s $250 million commitment was cited as approximately €213 million based on an exchange rate of 1.175 USD/EUR as of December 31, 2025.
KEY QUOTES:
“This fund marks a new chapter for ALTÉRRA as we move into our next stage of growth and deepen our ability to mobilize and deploy global capital toward high-impact investments. Our partnership with BBVA marks an important step in strengthening global collaboration in clean energy, sustainable infrastructure and technology investments, allowing us to continue to back high-quality opportunities delivering long-term value.”
H.E. Dr. Sultan Al Jaber, Chairman, ALTÉRRA
“This partnership aligns with BBVA’s strategy to make sustainability a key driver of differential growth globally and to deepen our presence in fast-growing climate finance hubs such as Abu Dhabi. We see ALTÉRRA as a long-term partner to mobilize capital at scale, and this partnership reflects our confidence in their climate-focused strategy and track record.”
Carlos Torres Vila, Chair, BBVA
