ImpactAlpha, January 18 — Bangalore-based Varthana has extended loans to over 7,500 low-cost private schools in India to rehabilitate facilities, train teachers and secure resources for students. Varthana says it has opened branches in India’s smaller cities to reach more low-income students.

Blue Earth’s $14 million follow-on investment “will empower Varthana to expand its support to a wider network of affordable private schools,” said Amy Wang of the Swiss impact investing firm. During the Covid pandemic, Varthana secured a $15 million loan from the US International Development Finance Corp. to help schools transition to online learning. 

Climate finance

Separately, Blue Earth closed its latest private equity climate impact fund, raising $308 million to invest in companies driving the low-carbon and circular economies in North America and Europe. The fund will target growth-equity investments in the “missing middle” of the venture and buyout stages.

An additional $70 million in commitments will be reserved for co-investments.