Bangkok-based early-stage climate investor, The Radical Fund, has achieved the first close of its US$40 million fund. The fund is dedicated to supporting climate-focused startups operating in or based in the region. It primarily targets startups in the pre-seed, seed, and pre-series A stages, seeking innovative solutions that address climate change through adaptation and mitigation.
“Southeast Asia is one of the most adversely affected regions of the world when it comes to climate change, and yet investments is still predominantly going toward US and Europe ventures,” Alina Truhina, CEO and managing partner of The Radical Fund, said in a statement.
Additionally, the fund will invest in non-climate tech startups whose business models contribute to addressing climate concerns, spanning sectors such as agriculture, food, circular economy, finance, mobility, and logistics. Portfolio companies will receive both operational and technical support.
Despite a recent report by Bain and Company, Temasek, GenZero, and Amazon Web Services indicating a 7% decline in green investments to US$5.2 billion in the region in 2022, The Radical Fund aims to drive positive change and support climate-oriented entrepreneurship in the region.