Pictet Raises $253 Million for Environmental Investment Fund

The Pictet Group closed its Environment Co-Investment Fund I at $253 million, exceeding its target. The private equity co-investment fund, classified as an Article 8 SFDR, targets global companies active in decarbonization, the circular economy, and water networks.

The Pictet Group announces the final closing of its Environment Co-Investment Fund I, with total fundraising of $253 million, exceeding the initial target of $200 million.

Pictet Expands Private Equity Focus on Global Environmental Solutions and Sustainable Growth

Environment Co-Investment Fund I is Pictet’s first co-investment vehicle dedicated to the environment, leveraging the firm’s extensive experience in private equity co-investment. The strong interest generated during the fundraising phase reflects investors’ desire to access private market opportunities and recognizes Pictet’s distinctive expertise in thematic and environmental investments.

Together with leading private equity firms, the fund will invest in companies around the world that are at the forefront of addressing critical environmental challenges. The portfolio will focus primarily on buyouts, late-stage growth opportunities, and selective venture capital investments, primarily in North America and Europe.

Investments will be diversified across five sectors: greenhouse gas reduction, pollution control, circular economy, sustainable consumption, and enabling technologies. To date, approximately half of the committed capital has already been invested in eight deals.

The fund’s investor base is well diversified globally, including insurance companies, pension funds, family offices, and private clients in Europe, Asia, North America, and the Middle East. The fund has attracted considerable support from both established investors and new clients seeking more selective exposure to private markets and portfolio diversification through co-investment strategies.

“The success of Environment Co-Investment Fund I reflects both the growing demand for co-investments and confidence in Pictet’s ability to identify and select the best private equity investment opportunities,” said Nicolas Thomas, Principal Thematics Private Equity at Pictet Alternative Advisors. “In the current environment, investors are increasingly seeking exposure to high-quality private companies, with greater visibility into their underlying assets and how their capital is deployed.”

Many companies developing solutions in sectors such as electrification, waste, water networks, resource efficiency, and environmental services are still owned by. The fund’s co-investment model is perfectly suited to this market, allowing it to invest alongside established sponsors in individual transactions evaluated on a case-by-case basis and build a highly selective portfolio.

The investment process combines financial due diligence with Pictet’s proprietary sustainability due diligence and its environmental framework, used to assess thematic alignment, environmental contribution, and key sustainability factors. The fund is classified as Article 8 of EU Regulation 2019/2088 (SFDR) and aims to achieve at least 80% sustainable investments by the end of the investment period, as required by Pictet’s Sustainable Investment Framework.

With a track record spanning more than thirty-five years, Pictet has been investing in private equity since 1989 and made its first co-investment in 1992. To date, the group has committed capital to over 300 co-investment transactions and has established ongoing relationships with more than 90 GPs active globally.

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First published in ESG NEWS. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

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