ArcTern Ventures – a Toronto-based venture capital firm with offices in San Francisco and Oslo investing globally in breakthrough technology companies addressing climate change and sustainability – recently announced $335 million in commitments for Fund III, including securing new investments from flagship limited partners, including TD Bank Group, Allianz, Church Pension Group, OPTrust, Credit Suisse Asset Management, and other large institutional investors.
Initially targeting a close at $300 million, Fund III is now over-subscribed, reinforcing ArcTern’s position as one of the most significant dedicated climate tech venture funds in the world.
Primarily focused on the North American and European markets, ArcTern is focused on deploying its funds to maximize the reduction of greenhouse gas (GHG) emissions over the fund’s lifespan. And ArcTern conducts thorough evaluations of all potential environmental impacts before committing to investments. Only early growth-stage companies — especially those undergoing a Series A or B funding round — with the most significant potential for GHG avoidance are selected to become part of ArcTern’s investment portfolio. To ensure accountability, ArcTern’s Fund III is registered as an Article 9 fund under the European Union’s Sustainable Finance Disclosure Regulations and will be measured against a set of climate impact criteria to quantify and verify investments’ offset emissions.
Fund III will invest in technology companies that develop and innovate solutions in renewable energy, clean mobility, circular economy, sustainable food, agriculture, and industrial decarbonization.
KEY QUOTES:
“We are investing across North America and Europe in mission-driven founders who understand that if you’re not rapidly scaling revenue, you’re not having climate impact, and the world needs scaleable decarbonization solutions today, not decades into the future.”
– Murray McCaig, Co-Founder and Managing Partner at Arctern Ventures
“Spanning diverse geographies and industry verticals, we keep a close eye on the world’s most promising climate startups to ensure that we’re maximizing the utility of our funds. As former founders and operators ourselves, we partner and collaborate with bold and innovative startup teams that align with our impact-driven mission.”
– Marc Faucher, Managing Partner at ArcTern Ventures
“We are pleased to help support entrepreneurs on the front line of energy innovation through our investment in ArcTern Fund III. This investment forms part of TD Securities’ Principal Investing Strategy, established in September 2019, and is aligned with the Bank’s desire to support those who are building a more sustainable tomorrow.”
– Drew MacIntyre, Vice Chair, TD Securities
