Avaana Capital, a prominent climate-focused venture capital Indian firm, has closed its Avaana Climate and Sustainability Fund at $135 million. The fund focuses on early-stage startups developing technology for climate mitigation, adaptation, and resilience. It majorly targets sectors that are responsible for 90 per cent of carbon emissions including, energy and resource management, mobility and supply chains, and sustainable agriculture and food systems.
The fund has received support from various institutional investors, including the Green Climate Fund (GCF), the US International Development Finance Corporation (DFC), the UK Government's UK-India Development Cooperation Fund (UKIDCF), Self Reliant India (SRI) Fund, Small Industries Development Bank of India (SIDBI), Azim Premji Trust, and large corporations.
Partner at Avaana Capital, Anjali Bansal highlighted the importance of innovation to bring climate actions with a better impact on the environment. She said, "The support from leading global and domestic institutional investors underscores the importance of innovation in driving climate action and delivering long-term impact. The Avaana Climate and Sustainability Fund will help build the next generation of climate-first companies to make meaningful progress toward a sustainable future." Avaana Capital plans to invest in 20-25 early-stage startups, with an initial investment range of Rs 10-30 crore per company.
