KfW Capital has announced the successful full investment of approximately EUR 100 million in seven venture capital funds as part of its Green Transition Facility. This facility, introduced in June 2023 with a planned duration of two years, has reached completion ahead of schedule in just one and a half years. The funds target start-ups and fast-growing enterprises in Germany focused on ecological change, contributing to the Federal Government’s Future Fund.
The specific venture capital funds involved are AENU, Contrarian Ventures, Extantia, Forbion BioEconomy, Nordic Alpha Partners, Norrsken VC II, and Future Energy Ventures. The initiative supports the government’s strategy to improve financing for climate tech sectors.
Stefan Wintels, CEO of KfW Group and Supervisory Board Chair of KfW Capital stated: “The success of the Green Transition Facility is a positive signal for the VC ecosystem in Germany in several respects. The facility effectively reinforces the growth field of climate tech, directly benefiting green tech start-ups.”
Dr Jörg Goschin, Co-CEO of KfW Capital added: “Within a period of only one and a half years, we have successfully invested our Green Transition Facility in very professional VC funds that have this specific investment focus. This has provided a strong boost to innovative climate technologies and thus to the ecological transformation in Germany.”
Over 70 start-ups have been financed through this initiative so far. The criteria for funding included having an investment focus on "climate tech" or related fields as defined by EU Taxonomy Regulation 2020/852.
In addition to these investments, climate tech funds still raising capital may receive further support from KfW Capital through programs such as ERP VC Fund Investments and ERP/Zukunftsfonds Growth Facility.
Further information about KfW Capital's programs can be accessed online.