Gaia Energy Impact Fund II announces first close at €40m
Gaia Impact, an impact investment advisory firm that launched a coalition in March last year with Capital Croissance, Schneider Electric, Capelan, and Investisseurs & Partenaires (I&P), has achieved its first closing target of €40 million for the Gaia Energy Impact Fund II (GEIF II).
GEIF II aims to finance and support startups and SMEs operating across the entire value chain of decentralised renewable energies. The previous investment vehicle, Gaia Impact Fund I, invested in around a dozen companies, primarily in sub-Saharan Africa, including Osmosun, which recently successfully went public on Euronext Growth.
Following the same investment thesis, GEIF II is poised to invest in seed, Series A, and Series B stages, in equity and quasi-equity, with ticket sizes ranging from €500,000 to €5 million. The fund aims to invest in approximately 12 companies, with around 85% of them active in sub-Saharan Africa.
Capital Croissance, exclusively advised by the Gaia Impact team, is the fund manager of Gaia Energy Impact Fund II, while Schneider Electric and the family office Capelan are the two cornerstone investors of the fund. I&P, a specialist in private equity investment in Africa for 20 years, is a strategic partner of the fund, thanks to its local presence and experience in Africa.
GEIF II aims for a final closing of €80 million by the first half of 2024. During the summer, GEIF II made its first investment of $1 million in Surechill, a company based in Kenya that has developed technology revolutionising medical and productive refrigeration.
Hélène Demaegt, founder and president of Gaia Impact, commented on this first closing saying, ”We sincerely thank our partners for making the Gaia Impact adventure even more ambitious. Thanks to them, our action for the energy transition in Africa is taking on a new dimension.”
Eric Neuplanche, founder and president of Capital Croissance added, ”We have been impressed by the achievements and high professionalism of the Gaia Impact team since 2017, and even more so by the strong social, societal, and environmental ambition of this impact fund. It replaces polluting energy with decarbonised energy and provides access to energy for four million people. The entire Capital Croissance team is proud and highly motivated to be associated with the Gaia Impact team, I&P, and Schneider Electric in a fund project that reconciles economic returns, social impact, and environmental impact.”
Jérémy Hajdenberg, co-CEO of I&P emphasised, ”I&P is proud to engage with Gaia Impact on this fundamental project, addressing both energy and SME financing issues. Beyond its participation in investment committees and governance, I&P will provide its expertise on ESG and impact and its network in sub-Saharan Africa, built over more than 20 years of impact investment in sub-Saharan Africa.”
Gilles Vermot Desroches, SVP for corporate citizenship at Schneider Electric stated, ”Schneider Electric has been active for more than 10 years in supporting access to electricity, especially through its impact investment activity. We believe that this new coalition brings together the best assets to accelerate our impact in Africa. Schneider Electric will make its team’s expertise available for this project.”
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