Zero Carbon Capital Ltd has today announced the first close of the new Zero Carbon Capital 2022 LP fund. They have raised £10m toward a target of £30m to invest in extraordinary early-stage European companies building innovative, scientific solutions to the biggest, hardest challenges of decarbonisation.
The team at Zero Carbon Capital has been investing in the Climate Tech space for six years and has invested in the pre-seed and seed rounds of 18 startups, first as angels in the US in companies like Lilac, MicroByre and E-Zinc, then building the portfolio of the Zero Carbon Fund in the UK. Those companies are going from strength to strength and are on track to help tackle what is the biggest economic transition in living memory.
Pippa Gawley, Managing Partner, Zero Carbon Capital says, “While investing over the last few years, we realised that there simply isn’t enough money going into the early-stage development and commercialisation of the transformational technologies we are going to need to solve climate change. Huge parts of the economy like industrial heating and cooling, agriculture, long-distance transport, concrete and steel currently have no economically viable path toward zero emissions.”
The fund will continue to focus on seed and pre-seed investments in companies that are led by scientific founders, solving a half-gigaton scale problems in decarbonisation. The increased scale will allow Zero Carbon Capital to expand focus from the UK to all of Europe, have the ability to lead more rounds with bigger investments and have sufficient funds to continue to invest in portfolio companies as they grow.
Torben Schreiter, Partner, Extantia Capital who co-anchored this round along with another large investor says, “We share the vision of the Zero Carbon Capital team and are excited to add them to our Fund of Funds portfolio. Pippa and Alex have demonstrated a knack for finding, backing and supporting some of the best early-stage companies in the deep decarbonisation Climate Tech space.”
The fund is open to new investors until the end of the year and will be deployed over the next four years.
Risk to Capital
Investing in start-ups and early-stage companies involves risks, including illiquidity, lack of dividends, loss of investment and dilution. It should be done only as part of a diversified portfolio. There is no assurance that the investment objectives of any investment opportunity will be achieved or that the strategies and methods described herein will be successful. Past performance is not necessarily a guide to future performance and the value of an investment may go down as well as up.
The investments which we promote are targeted exclusively at investors who understand the risks of investing in early-stage businesses and can make their own investment decisions. Any pitches for investment are not offers to the public and investments can only be made through Sapphire Capital Partners LLP as the fund manager. Neither Zero Carbon Capital Limited, Sapphire Capital Partners LLP nor any of their members, directors or employees provide any financial, legal or tax advice in relation to the investments and investors are recommended to seek independent advice before committing or if they have any doubts as to the appropriateness or suitability of such an investment in relation to their specific circumstances.
Zero Carbon Capital Limited is a private limited company registered in England and Wales with registration number 12028532. Registered office: Station House, North Street, Havant, England, PO9 1QU.
Zero Carbon Capital Limited (FRN: 916588) is an appointed representative of Sapphire Capital Partners LLP (FRN: 565716), who are authorised and regulated by the Financial Conduct Authority.