US-based asset manager Hamilton Lane on Wednesday announced it had closed its second impact fund with US$370 million ($560 million) in capital commitments, bringing the firm’s total impact and sustainable capital to more than US$850 million ($1.29 billion) raised since early 2021.
Impact Fund II, a closed-end investment vehicle that aims to generate private equity returns, invests in businesses globally with a focus on clean energy transition, sustainable processes, health and wellness and/or community development.
In what the firm said is leveraged by its broad network and extensive platform of deal flow and general partner relationships, Impact Fund II is focused on making direct investments across geographies and strategies including buyout, growth, late-stage venture, and real assets.
“This is an exciting time in the impact market, with strong investor interest and record deal flow within the strategy,” said Andrew Durante, product specialist for the Hamilton Lane Impact Platform.
“We are thankful for the continued commitment and support from our terrific base of LPs (limited partners) from around the world, as we now turn our focus to leveraging Hamilton Lane’s unique access and platform to invest in opportunities that aim to drive meaningful impact alongside strong returns.”
The fund has made a total of nine investments so far, which Hamilton Lane said has had a specific emphasis on growth investments that leverage transformative technologies, innovation, and efficiency.
Initial investments have been within varied sectors, including products focused on smart and efficient cities, online workforce training and education, design and manufacture of wind turbines and energy storage systems, and carbon tracking and management, according to the firm.
Also on Wednesday, Hamilton Lane said it had raised over US$500 million ($757 million) of sustainable-focused investment capital within separate accounts as part of its broader sustainable investment platform.
Speaking on the platform’s expansion, managing director and co-head of Impact Investments, David Helgerson, commented: “Across our sustainable investment platform we are seeing a broad and diverse spectrum of investment opportunities in companies that offer compelling economic solutions to the problems of the world today.
“Our team is focused on investing in innovative businesses that are at an inflection point in their growth and that seek to deliver positive environmental and social outcomes,” Mr Helgerson continued.
Hamilton Lane currently boasts nearly US$832 billion ($1.26 trillion) in assets under management and supervision as of 31 December 2022.
