ImpactAlpha, October 7 — Mega funds are finding mega deals. Multi-billion dollar funds from private equity giants like TPG Rise and Brookfield are deploying slugs of hundreds of millions (and even billions!) of dollars to seize the trillion-dollar opportunities presented by the energy transition.
Brookfield’s $15 billion Global Transition Fund, the largest energy transition fund, this week announced it will invest up to $2 billion to acquire U.S. renewable energy platforms Scout Clean Energy and Standard Solar. Scout and Standard Solar will continue to operate as independent businesses.
Separately, Brookfield formed a $550 million partnership with Chicago-based carbon recycler LanzaTech. Brookfield will invest another $500 million if LanzaTech hits certain milestones.
TPG Rise Climate, TPG’s $5.4 billion climate fund, led Form Energy’s $450 million Series E financing. The Boston, Mass.-based long-life battery manufacturer also received investments from Breakthrough Energy Ventures, Energy Impact Partners, The Engine, Temasek, the Canada Pension Plan Investment Board and others.
The company is looking to commercialize its iron and air-based battery that enables renewable energy projects to cheaply store power for an extended period of time (for context, see, “Form Energy scores backing from TPG’s $5.4 billion climate fund“).