Summa Equity, a Stockholm-based firm that invests in companies solving global challenges, announced that it has closed its third fund at €2.3B.
The oversubscribed fund was closed within four months with participation from global investors.
Fund III is composed of a diverse group of investors including pension funds, insurance companies, foundations and endowments, financial investors and family offices with global representation including Canada, the United States, the Nordics, UK, DACH, France, Benelux, Singapore, Japan, and Australia.
The capital raised will enable Summa Equity to support its mission of investing in global challenges in line with the UN’s Sustainable Development Goals.
Reynir Indahl, Managing Partner and Founder of Summa Equity, says, “ With the scale up in Fund III, we hope that Summa can have significantly increased its positive impact on an international scale, investing in companies across the spectrum from young, high-growth companies to more mature firms. Impact investing, or what we call Private Equity 4.0, is becoming mainstream as a growing number of PE firms are adding to their existing capabilities the effective management of impact on “externalities” to address environmental, social, and governance challenges.”
Summa Equity: What you need to know
Founded in 2016, Summa invests in companies that solve global challenges and create positive Environmental, Social, and Governance (ESG) outcomes for society.
The company focuses on investing in industries and companies in three sustainability themes: Resource Efficiency, Changing Demographics, and Tech-Enabled Transformation.
Hannah Jacobsen, Investment Director and Head of Investor Relations, says, “The strong commitment to Summa Equity’s third fund confirms that our investors believe in our thematic focus, distinct deal flow and high caliber team; recognising Summa Equity’s ability to deliver future-proofed superior returns whilst driving ESG outcomes. Together, we will continue to reimagine capitalism.”Fund III
The announcement of Fund III comes three years after Fund II, and five years after Fund I. The company launched its first fund in 2017, raising €470M, and its second in 2019, raising €680M. Additionally, Suma Equity also raised €540M in co-investments.
With its new fund, Summa Equity now manages €4B in Asset Under Management (AUM). Fund III will continue to build on Summa Equity’s proven track record of incorporating the SDG framework.
So far, Summa Equity has made 22 investments that are advancing the SDGs. These include five investments delivered in 2021, with representation across all the three structural themes, says the company.
The company was recently certified as a B Corporation, joining a growing group of companies reinventing business by pursuing purpose as well as profit.