Climate Fund Managers launch new private credit vehicle
Climate Fund Managers, in partnership with Cardano Asset Management, has announced the Cardano CFM Emerging Markets Climate Credit Fund (CCF), a $1-billion-target private credit vehicle, which will focus on renewable energy opportunities across emerging markets.
CCF is Climate Fund Managers’ third climate-focused, blended finance initiative and first private credit vehicle, following the establishment of two equity initiatives: Climate Investor One (CI1) and Climate Investor Two (CI2).
The majority of CCF’s project pipeline has been equity financed by CI1 and CI2, in turn providing CCF with a right to match funding terms on the subsequent debt raise for these projects. This results in a self-perpetuating, proprietary pipeline of renewable energy assets for the fund and completes CFM’s goal to offer comprehensive financing structures over the entire project lifecycle (development, construction, and operations).
CCF is targeting a first close of $500 million (by late 2023) and final close of $1 billion.