Sustainable Private Credit 

We believe some of the most compelling opportunities today come from selectively catalysing the scaling-up of providers of sustainable goods, services or distributed real assets that are disrupting idle, carbon-intensive infrastructure.

While a surge of capital seeks to deploy into megatrends, most climate solution providers operate within fragmented markets which are just beyond the reach of traditional debt financing.

Our collaborative financing approach seeks to unlock a path to greater scale for these companies by providing USD 15-25 million secured credit facilities and best-in-class sustainability resources, which attract lower-cost capital. This has helped drive outperformance while targeting USD 1.4 billion¹ in follow-on equity commitments into our investee companies and their affiliates – proof of our ability to help climate-focused firms achieve scale.

Our focus: six specialisms in distributed clean industries.

With USD 24.5 trillion of capital expenditure to be deployed in electrification this decade alone, and a structural shift towards the decentralisation of the energy system, we anticipate a generational opportunity for impact investing that is non-concessionary: contributing to sustainability solutions while aiming to generate strong financial returns.

We see deep alignment between profit and purpose – particularly where sustainable solutions provide an opportunity to disrupt established markets that serve essential needs while delivering excess value to stakeholders.

This alignment of returns is additionally supported by considerable policy tailwinds, which may drive resilience and lessen correlation with broader economic trends. With decentralisation a secular trend in many markets, we believe private credit is playing a key role in aggregating proven solutions while creating value for both investors and portfolio companies.

Our targeted private credit strategy provides exclusive access to (typically) smaller opportunities via our proprietary network of personal contacts – opportunities that simply don’t reach the market.

As such, these more focused, smaller credits, are originated through our close networks, often with shorter maturities, meaning investors.

Additionally, our robust covenants ensure bespoke deal terms, providing early warning triggers should we need to withdraw our lending if these are transgressed, e.g. a predefined debt to equity ratio, revenues, or M&A activity.  

• Hands-on sustainable investment approach to deliver capital and purposeful engagement to companies at critical inflection points
• Help catalyse growth potential and measurable impact, seeking to mobilise further capital at greater and lower cost for our investees
• Active stewardship strategy to support our portfolio companies in becoming the next generation of climate leaders

	Distinctive focus We seek to capture attractive investment risk premia by providing transitional, structured growth capital to motivated firms – typically as the sole lender in a capital structure. Our team’s experience in bespoke private-market transactions enables efficiency in execution, while our focus on aligned bilateral investments allows for robust structural controls to be negotiated.
	Differentiated origination Our collaborative and reputation-based approach, focused on delivering non-concessionary impact, allows for differentiated origination with less competitive tension. With a ‘positive-sum’ mindset that purposefully seeks to deliver more than capital to help achieve climate goals, we believe we are able to attract best-in-class entrepreneurs and create access to bespoke investments with positive convexity.
	Downside protection This is our priority, and it is underpinned by shorter duration, first-lien, senior-secured positions and conservatively valued assets and collateral analysed in various scenarios. We believe our robust investment process reduces operational and governance risk, and underwriting typically based on visible cash flows allows us to manage performance, technology and merchant risks.

Capital preservation represents a portfolio construction goal and cannot be guaranteed.