Terra's second fund aim to invest in ventures outside the traditional CleanTech industry including internet, software and mobile with favorable impact on the environment
TERRA Venture PartnersLP announced today the first closing for its new fund, of USD 20 million. Its primary investors include a leading US private equity fund, a Brazilian bank, European family offices, and additional strategic investors, many of which have invested in TERRA's first fund. TERRA targets a $50 million second fund. Upon completing its raising of capital, TERRA will manage a total of USD 90 million.
The capital raised for the second fund is expected to be invested in ventures not necessarily associated with the traditional CleanTech industry, and which connect between internet, software and mobile technology, and have a favorable impact on the environment and our way of life.
The fund was selected by Israel's Chief Scientist at the Ministry of Industry, Trade and Labor to operate a business incubator in the northern part of Israel technology scene. As part of the tender, TERRA will operate the incubator for the next eight years, whereas for each dollar invested by TerraLab, the State of Israel invests 5.5 dollars. TERRA aim to invest through TerraLab in five to seven companies annually and also performs the follow-on investment.
Terra General Partner Dr. Astorre Modena said: "CleanTech is undergoing dramatic change in the last two years, and we see more and more revolutionary and breakthrough which target the end user and include green technologies in our daily lives. CleanTech stopped being intended for just heavy industry long ago, as we have proved with our current portfolio companies, there are outstanding CleanTech companies on the market with promising economic viability."
Dr. Astorre Modena, and DR. Harold Wiener founded TERRA Venture Partners in 2007. TERRA's first fund, which raised USD 25 million, invested in nine CleanTech companies. Most of its portfolio have raised large follow-on capital, and four have substantial revenue and cooperation agreements with industry leaders.
Terras portfolio companies include Phoebus Energy Ltd, hybrid water heating solutions for institutions; Wi-Charge Ltd., which has developed radiation-free wireless solutions for recharging electrical products and mobile phones; and SmarTap Ltd., which provide smart water saving solutions for the home, and which won the Eco Innovations Award for 2013.