The Environmental Innovation Fund, a renewable energy venture capital fund launched by the government-backed UK Innovation Investment Fund (UKIIF), has held a first close on £125 million ($201 million) in capital commitments.
Hermes Private Equity will manage the fund as part of its Hermes Private Equity Environmental Innovation Fund (HPEEIF). Over the next two – to – three years the Environmental Innovation Fund will invest in low carbon and clean technology funds.
In a prepared statement UK Prime Minister, Gordon Brown said:
The UK has a wealth of innovators and entrepreneurs seeking to create the businesses of tomorrow – businesses that will make the UK a world-leader in low carbon innovation and industry, and help to tackle some of the biggest challenges we face around energy and climate change. This fund will provide substantial investment where it is needed and deliver strong returns for investors.