Ara Partners closes $1.1B decarbonization fund

In Texas, Ara Partners announced the closing of Ara Fund II with approximately $1.1 billion in capital commitments. The Fund was significantly oversubscribed, exceeding its $650 million initial target and increasing its hard cap. The Fund received commitments from a diverse set of returning and new institutional investors in North America, Europe and Asia, including public pensions, sovereign wealth funds, endowments and foundations.

Fund II will continue Ara’s strategy of investing in the ongoing decarbonization of the industrial economy, the greatest source of carbon emissions globally. Ara seeks investments in companies in the United States, Canada and Europe that have the potential to achieve significant reductions in carbon emissions. Ara works closely with management teams to enhance greenhouse gas and waste reduction goals, while closely tracking environmental impact. In leveraging the team’s combined technical and operations expertise, Ara seeks to execute both buyout and industrial growth investments in high-growth companies across the industrial and manufacturing, chemicals and materials, energy efficiency and green fuels, and food and agriculture sectors.