Warsaw-based PFR Ventures, a fund of funds that invests in venture capital and private equity teams, announced on Wednesday that it has invested €55M in four green venture capital and growth equity funds under the PFR Green Hub FoF programme.
The investment comes as the Polish VC aims to foster green innovation in Poland and finance the development of innovative climate technologies that address the climate crisis.
PFR Green Hub is one of the Polish Development Fund’s strategic programmes to support Poland’s energy transformation.
Particularly, PFR GreenHub FoF is a programme that supports venture capital teams that specifically finance innovative ClimateTech projects.
It is managed by PFR Ventures, which joins VC and PE funds as an LP.
Bartłomiej Pawlak, Vice President of the Polish Development Fund, says, “We have created a programme that is unprecedented in the European Union. We understand that energy transformation is not just about large investments in infrastructure. Every innovative product or service that brings us closer to reducing emissions is worth funding. We want to create an environment for the founders and investors by stimulating capital investments in innovative, green projects.”
PFR Ventures signed investment agreements around late 2022 with four funds:
- Contrarian Ventures
- Eurazeo
- General Atlantic’s BeyondNetZero fund
- Montis Capital
According to PFR Ventures, all these funds focus on green strategies that involve investments in projects and companies tackling climate challenges and energy transformation.
Małgorzata Walczak, investment director at PFR Ventures, says, “We are aiming for a diverse profile of funds in our PFR GreenHub FoF portfolio. The first four teams include local, regional, and pan-European investment firms. They differ in terms of investment strategy, especially when it comes to the stage of the company’s development. This helps us adapt to the market needs.”
Walczak adds, “We are fully aware that there’s a lot to be done regarding green innovation in Poland, with the only ClimateTech company that went beyond the early stage being Airly. And the team achieved that almost without the participation of Polish funds. With PFR Green Hub FoF, we want to ensure we don’t miss another chance like that.”
PFR Ventures now plans to conduct market research and increase the allocation to ClimateTech strategies. Currently, PFR Ventures holds a portfolio of more than 60 funds that have made over 550 investments.
