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BlueOrchard has reached a $250 million first close for its BlueOrchard Climate Action Mobilisation Fund (BOCAMF), a private debt fund focused on emerging and frontier markets.
The first close includes senior financing through investment-grade notes provided by Aviva Investors and Daido Life Insurance Company, alongside commitments from Schroders, British International Investment (BII) and FinDev Canada.
BOCAMF will provide senior loans to banks, microfinance providers and other financial institutions that channel climate finance to small and medium-sized businesses. It will also provide direct loans to companies.
The fund’s blended finance structure combines investment-grade senior notes with senior and junior equity anchored by BII and FinDev Canada.
Munawer Shafi, head of structured and private debt at Aviva Investors, said: “Innovative structures such as this blended finance product can help broaden access to a greater range of asset classes, enabling matching adjustment insurers to diversify their portfolios while remaining within regulatory parameters and being able to invest into opportunities that can support climate solutions in emerging and developing markets.”
Masaki Sano, general manager of the credit investment department of Daido Life, commented: “We are pleased to participate in BOCAMF, an innovative investment solution that supports climate action across emerging and frontier markets. We believe this initiative represents an attractive investment opportunity that seeks to deliver both financial returns and measurable climate impact. Together with BlueOrchard and fellow investors, we look forward to supporting efforts that address the global challenge of climate change and contribute to sustainable economic development.”
Leslie Maasdorp, CEO of British International Investment, noted: “BOCAMF was one of the winners of BII’s flagship Climate Action Mobilisation Initiative, launched in 2025 to develop investment solutions capable of attracting greater private capital into climate opportunities in emerging markets. This first close is an important proof point for the continued evolution of blended finance as a powerful mobilisation tool. By demonstrating that institutional investor requirements can be met alongside meaningful climate impact, the fund helps create a pathway for greater commercial investment into emerging markets. Each successful vehicle strengthens the market, builds investor confidence and makes it easier to replicate and scale future structures, ultimately mobilising more private capital towards climate action where it is needed most.”
Lori Kerr, CEO of FinDev Canada, added: “The scale of the climate challenge demands that we find new ways to mobilise institutional capital for emerging markets. This first-of-its-kind fund demonstrates what is possible when development finance, private investment, and deep market expertise come together with a shared ambition. By creating an investment-grade pathway into emerging market climate finance together, we are supporting climate solutions today while demonstrating a model that can unlock larger flows of capital in the future. That is the promise of blended finance – to turn investor interest into action and expand what the market can achieve.”
Michael Wehrle, CEO of BlueOrchard, said: “The successful first close of BOCAMF demonstrates what can be achieved when institutional investors, development finance institutions and investment managers work together to design solutions around investors’ needs. By combining BlueOrchard’s 25-year track record in emerging markets private credit with an innovative blended finance structure, including direct corporate lending, we have delivered an investment solution that broadens institutional access to climate finance while meeting the investment and regulatory requirements of insurers and other long-term investors.”
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