Supported by strategic investor L’Oréal, Round Innovation Fund goals at scaling progress stage round improvements and enterprise fashions throughout varied sectors
MONTREAL and PARIS, April 21, 2022 /PRNewswire/ – Cycle Capital and Demeter, main cleantech-focused capital managers, introduced at the moment forward of Earth Day the profitable first shut for its new US$160M – €150M Round Innovation Fund (“CIF”) with participation of anchor investor L’Oréal.
With this fund, the managers be a part of their assets to scale round, sustainable and worthwhile progress stage options from North America, Europe and Asia that positively contribute to local weather change mitigation and round use of assets throughout varied sectors together with new supplies, packaging, recycling & waste, logistics, eco-efficient processes & design. The fund will capitalize on the managers’ expertise of investing in enterprise, personal fairness and infrastructure in cleantech to the rising want for market-ready options to convene capital in the direction of proficient entrepreneurial groups which are deploying these improvements.
CIF is an influence innovation fund categorized as Article 9 beneath the EU’s Sustainable Finance Disclosure Regulation. The fund’s sturdy, dependable and revolutionary influence measurement methodology integrates due diligence and continued monitoring on crucial non-financial KPIs together with greenhouse gasoline emissions reductions, useful resource use and variety over the funding horizons of portfolio firms. The fund managers’ compensation can also be aligned on the achievement of a choice of pre-determined influence objectives.
Anchor investor L’Oréal is contributing €50M via its L’Oréal for the Future sustainability program. The fund additionally advantages from a broad vary of buyers together with, strategic investor Axens, household places of work together with Haltra and Claridge, in addition to personal buyers and the managers.
- “In a context of “it’s now or by no means” because the final IPCC report mentioned, personal firms reminiscent of L’Oréal, have an elevated position to play in supporting options that are crucial for the way forward for our planet and humankind. At L’Oréal we consider that Influence funding is a robust software to sort out the most important environmental points and speed up the mandatory inexperienced transition. With the Round Innovation Fund, we’re becoming a member of forces with different dedicated actors to scale round and worthwhile options for sustainable progress.” – Alexandra Palt, Chief Company Accountability Officer and CEO of the Fondation L’Oréal.
- “Axens is deeply concerned within the growth of superior processes and options for the round financial system of products and supplies, together with plastics – with our Rewind® household processes – and metals. With a purpose to speed up the emergence of a round financial system worldwide, innovation is required all alongside the worth chain of these items and supplies. The Round Innovation Fund, with famend companions coming from completely different horizons, shall be a robust
software to help this innovation progress, and we, at
Axens, are glad to be a part of it.” – Jean Sentenac, Chairman and CEO, Axens.
- “We’re smitten by becoming a member of Cycle Capital and Demeter, two main buyers within the ecological transition, with a world presence and exercise in North America, Europe and Asia. Our funding is a strategic part of our influence investing program flowing from our accountable funding coverage. The Fund will enable Claridge to make investments in round financial system options and to take part in each return potential and contribution to world environmental well being.” – Pierre Boivin, President and CEO, Claridge Inc.
- “As a household funding agency targeted on managing belongings and having a constructive influence, we promote the emergence of disruptive and sustainable financial fashions for future generations. We’re delighted to take part to this new fund within the Round Economic system, one in all our core funding themes. Now we have recognized Demeter for a few years and are happy to accomplice with Cycle Capital and L’Oréal on this discipline” – Matthieu Baumgartner, Co-Founder, HALTRA.
- “We’re past thrilled to announce the primary closing of the Round Innovation Fund, which comes at a pivotal level within the world provide chain crunch and, most significantly, has the potential to drastically re-design how we extract, manufacture, eat and dispose of products and supplies. In gentle of the brand new IPCC report, a transition to renewable vitality is just not sufficient to resolve among the most urgent challenges humanity faces. We additionally must sort out carbon emissions generated by the products we eat with innovation-driven applied sciences developed by proficient entrepreneurs” – Andrée-Lise Méthot, Founder & Managing Accomplice, Cycle Capital.
- “The joint-venture shaped by Cycle Capital and Demeter platforms represents the right match for the Round Innovation Fund funding technique. Our devoted workforce advantages from our undisputed experience in ecological transition and round financial system, our worldwide footprint and our observe information in addition to our best-in-class influence knowhow.” – Stéphane Villecroze, Co-founder & Managing Accomplice, Demeter.
Led by Benoit Forcier and Mathieu Goudot, with the help of Adeline Kempf and Maya Hassa in addition to the corporations’ back-office, the workforce brings many years of mixed talent set of entrepreneurial, working and investing experience and expertise within the cleantech sector.
Investments in early-stage VC funds
Consecutive to the primary shut, CIF publicizes oblique funding in two early-stage funds targeted on round innovation – U.S.-based Closed Loop Enterprise Fund II and European Round Bioeconomy Fund (“ECBF”).
- Based in 2014, Closed Loop Companions is a New York-based funding agency, comprised of enterprise capital, progress fairness, personal fairness and catalytic capital, in addition to an innovation heart targeted on constructing the round financial system. The agency’s enterprise capital arm, Closed Loop Ventures Group, launched in 2017 with one of many first enterprise funds devoted to investing in disruptive, early-stage firms growing breakthrough options to speed up the transition to the round financial system. In 2021, the Group launched its second enterprise fund to construct on this technique. To this point, the workforce has made 30+ investments throughout each funds, concentrating on robust, early-stage enterprise returns.
- ECBF is the primary enterprise fund solely devoted to investing in growth-stage firms within the European bioeconomy, together with the round bioeconomy. The fund goals to make sustainable investments in our future and velocity up the shift from a fossil-based to a bio-based financial system. Thus, ECBF backs up companies with excessive potential for innovation, favorable returns, and sustainable influence.
CIF may even sponsor a world acceleration program via a partnership with Cycle Momentum. This system will supply help for startups on the Seed/Sequence A stage with cohorts throughout Europe, North America and Asia over 3 years.
CIF’s funding workforce is actively evaluating a wealthy pipeline of funding alternatives and welcomes inquiries and collaboration with entrepreneurs and co-investors.
Round Innovation Fund The Round Innovation Fund (“CIF”) is a world progress stage enterprise capital fund targeted solely on round innovation. It’s a three way partnership between main cleantech capital managers – Montreal-based Cycle Capital and Paris-based Demeter. The fund invests in growth-stage firms from North America, Europe and Asia growing breakthrough new supplies, round packaging, recycling and waste improvements, logistics, in addition to eco-efficient processes & design, and round enterprise fashions. For extra data on the Round Innovation Fund, go to: circularinnovationfund.com.
Cycle Capital Cycle Capital is an influence investor and main personal cleantech enterprise capital funding platform with $600 million beneath administration. With places of work in Montreal, Toronto and Qingdao, mainland China, and a presence in New York and Seattle, Cycle Capital invests throughout North America and China in rising and commercializing firms which have developed applied sciences aimed toward decreasing greenhouse gasoline emissions and optimizing assets and processes. Cycle Capital is the founding father of Cycle Momentum Accelerator and Canadian co-chair of the Past the Billion initiative – a world marketing campaign to mobilize a consortium of buyers who help feminine founders. For extra data on Cycle Capital, go to: cyclecapital.com.
Demeter Demeter is a serious European funding platform devoted to ecological transition. Demeter has over €1 billion beneath administration and carried out 200 investments since 2005. It invests €1m to €30m to help firms in any respect levels of growth: revolutionary startups, excessive progress SMEs and infrastructure tasks. Its workforce of 38 is predicated in Paris, Lyon, Bordeaux, Grenoble, Metz, Madrid and Düsseldorf. Demeter is a accountable and dedicated investor, signatory of quite a few initiatives reminiscent of PRI (Precept for Accountable Funding), CDP (Carbon Disclosure Challenge), iC20, The Shift Challenge, and initiatives for gender range. All new Demeter funds are categorized “Article 9” beneath the framework of the brand new European Sustainable Finance Disclosure Regulation (SFDR). For extra data on Demeter, go to: www.demeter-im.com.
L’Oréal For over 110 years, L’Oréal, the world’s main magnificence participant, has devoted itself to 1 factor solely: fulfilling the sweetness aspirations of customers all over the world. Our function, to create the sweetness that strikes the world, defines our method to magnificence as inclusive, moral, beneficiant and dedicated to social and environmental sustainability. With our broad portfolio of 35 worldwide manufacturers and impressive sustainability commitments in our L’Oréal for the Future program, we provide every individual all over the world the very best when it comes to high quality, efficacy, security, sincerity and duty, whereas celebrating magnificence in its infinite plurality.
With 85,400 dedicated staff, a balanced geographical footprint and gross sales throughout all distribution networks (e-commerce, mass market, shops, pharmacies, hair salons, branded and journey retail), in 2021 the Group generated gross sales amounting to 32.28 billion euros. With 20 analysis facilities throughout 11 nations all over the world and a devoted Analysis and Innovation workforce of 4,000 scientists and over 3,000 tech professionals, L’Oréal is concentrated on inventing the way forward for magnificence and changing into a Magnificence Tech powerhouse. Extra data on L’Oréal, go to: loreal.com/en/mediaroom
SOURCE Cycle Capital Administration