Verdane raises 1.1 billion euros for digital, green bets in Europe

VERDANE has raised 1.1 billion euros (S$1.2 billion) for a new fund to invest in companies working to digitalise and decarbonise the European economy.

The growth investment firm drew commitments from the likes of private and public pension funds, university endowments and insurance companies for the Edda III fund, according to a statement.

“We only invest in companies that pass our 2040 test,” Bjarne Kveim Lie, Verdane’s co-founder and managing partner, said. “That is those we believe are positioned to succeed in a more sustainable economy.”

Investors were also drawn to the Edda III fund by the weighted revenue growth of 22 per cent across the firm’s portfolio last year, Lie said. Verdane typically invests 20 million euros to about 150 million euros in companies through stake purchases.

“There are more exciting growth and growth buyout companies in Europe now than ever before,” Lie said. “It’s not the glory days of 2020, it’s difficult sometimes as buyers to meet sellers at the mid-point, but we do still see a lot of opportunities to buy into companies at attractive prices.”

The latest fund takes the amount raised by Verdane to 2.2 billion euros in the past six months. BLOOMBERG