Ara Partners has successfully raised an $800 million infrastructure fund aimed at significantly reducing carbon emissions across various industrial sectors. The firm’s original fundraising goal was $500 million. They continued to raise large amounts of support from new—and old—investors, including pension funds, insurance companies, endowments, foundations, and sovereign wealth funds from around the globe.
The firm’s commitment to decarbonizing often hard-to-reach industrial sectors couldn’t come at a more important moment. With the advent of a Republican U.S. We are seeing some unequivocal signs of improvement economic viability for these types of projects, as claimed Ara Partners. Recent advancements have allowed many companies to decrease costs associated with low- and zero-carbon technologies, making them increasingly competitive with traditional methods.
Ara Partners hasn’t just conceived this new strategy — it’s starting to write big checks under it, having already made three substantial commitments. One notable investment is in a household organic waste recycler based in Ireland, which aims to enhance waste management and contribute to a circular economy. In another move to diversify its portfolio toward a variety of decarbonization pathways, the firm has invested in a biofuels terminal developer.
Ara Partners had previously made an investment in Divert from one of its private equity funds. Divert’s mission is to create new value from food waste. In March 2023, as part of our ongoing coverage, we congratulated this investment. This is a testament to Ara Partners’ deep conviction in advancing sustainable practices across all sectors.
Ara Partners recently closed its second fund at $800 million. This is a strong demonstration of their strategic alignment to advance this growing, urgent field of industrial decarbonization. All across our economy, industries are under fire to shrink their climate footprints. Ara Partners is emerging as a crucial player to power this historic revolution and smooth out the transition. By leveraging its robust network of global investors and identifying viable projects, the firm aims to drive significant advancements in sustainable industrial practices.