TPG Rise Climate, the climate investing strategy of TPG’s global impact investing platform, TPG Rise, announced that it has raised $1.25 billion in initial capital commitments for its new Global South Initiative (GSI) strategy, aimed at accelerating transformative climate solutions across the Global South, including a $500 million commitment from UAE-backed climate investment platform ALTÉRRA.
The new GSI strategy was initially unveiled, alongside the ALTÉRRA commitment, in December 2023 at the COP28 climate conference in Dubai, targeting $2.5 billion in total capital commitments. The strategy is aimed at accelerating and attracting institutional capital at scale by offering return enhancement to encourage private equity investments in high growth climate opportunities across the Global South.
In addition to capital from TPG’s Rise Climate II fund, TPG said that the strategy has received commitments from institutional investors from across Asia and North America.
Jim Coulter, TPG Executive Chairman and a Managing Partner of TPG Rise Climate, said:
“We are encouraged by the initial pace of activity and client engagement around a first-of-its-kind strategy for our industry and expect that pace to continue, as we anticipate significant additional capital commitments in the coming two quarters. We look forward to activating our GSI strategy as early as the fourth quarter of this year and are grateful for ALTÉRRA’s continued partnership in spearheading this important initiative.”
ALTÉRRA CEO H.E. Majid Al Suwaidi added:
“These commitments demonstrate ALTÉRRA’s early progress towards channeling scale capital to climate solutions across the Global South, through novel approaches to climate investing. Our catalytic capital is proving instrumental in incentivizing investment to underserved markets, and the strong positive reception to GSI thus far is a testament to the value and potential of our innovative strategy,” said CEO of ALTÉRRA, His Excellency Majid Al Suwaidi.
