Uncle Sam’s not writing the check, but a coming infusion of cash into the cleantech sector via the private sector is nothing to sneeze at, as a recently formed syndicate of influential families (no – not Mafia families) has announced plans to invest $1.4 billion in the cleantech sector over the next five years.
The Cleantech Syndicate is a consortium of 11 families from across the country representing a collective net worth of more than $30 billion. Many of these families have developed utility-scale wind power and solar in the past, while others own/operate large real estate properties and fleets of industrial vehicles and are looking to increase energy efficiency. The syndicate has operating and investment experience across all stages of cleantech investing, from seed-stage venture capital to project financing.
Collectively, this group brings with it a team of 17 investment professionals, including members of McNally Capital and Black Coral Capital. Its projected investments in green technology and energy efficiency over the next five years are expected to comprise the largest pool of dedicated capital in the cleantech space.
As part of its efforts, the Cleantech Syndicate plans to establish a network of partners to support their efforts, including corporations, sovereign wealth funds, endowments and other parties interested in collaborating with them to increase knowledge, access and capital. It also plans to launch a European Cleantech Syndicate later this year, as well as a U.S. co-investment vehicle that will allow select non-Syndicate members to invest alongside its members.