Cathay Capital raises $117m from Total, others for China energy fund

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Cathay Capital Private Equity has gathered 820 million yuan ($117 million) in financing from French energy giant Total and the provincial government of Chinese province Hubei for a fund dedicated to the new energy sector in China.

The fund, Cathay Smart Energy Fund, was announced last year, with Total and Hubei High Tech Fund as its anchor investors. It will invest in emerging technologies and new business models, including renewable energy, energy internet, energy storage, distributed energy, smart energy and low carbon activities. At the time of its launch, the fund was said to target a corpus of 1.5 billion yuan (roughly $250 million).

Shipping company CMA CGM has also invested in the fund, which is the third RMB-denominated fund for Cathay Capital. 

Cross-border PE firm Cathay Capital invests in middle-market companies in the consumer goods and services, healthcare, business services and technology industries in Europe, North America, and China. It has more than 2.8 billion euros in assets under management and has completed over 100 buyouts and growth capital investments since its inception in 2007.

“Our investment in the Cathay Smart Energy Fund is in line with Total’s strategy to support innovative carbon-neutral energy solutions. China is leading the world in the field of clean and sustainable energy development and is, therefore, a strategic market for Total Energy Ventures (TEV),” said TEV chief executive Girish Nadkarni.

TEV is Total’s venture capital arm for investing in energy startups. Its portfolio includes companies such as AutoGrid, Stem, Sigfox and OnTruck. One-third of its investments are dedicated to China.

China is expected to remain the world’s largest energy consumer, accounting for 22 per cent of global consumption in 2040, despite slowing energy demand growth in the country, according to a BP report. At the same time, its utilisation of renewable energy is also projected to increase rapidly, rising annually by 8.5 per cent to 2040 to account for 26 per cent of global renewable energy capacity by then.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.