The Australian Government has announced that Southern Cross Venture Partners Pty Ltd has been appointed fund manager of Australia’s largest renewable energy venture capital fund, making available a total of $200 million to support renewable energy companies from early 2012.
The Australian Government’s commitment of $100 million through the Renewable Energy Venture Capital Fund will be matched dollar for dollar by Softbank China Venture Capital, which has experience in venture capital cross the Asian region.
The $200 million Southern Cross Renewable Energy Fund will assist high-potential Australian renewable energy start-up companies by making critical, early-stage equity investments.
The Minister for Resources and Energy, Martin Ferguson AM MP, launched the fund at the University of Technology Sydney.
“While Australia has many innovative companies developing renewable energy technologies early-stage companies with a limited operating history have found it difficult to source venture capital,” Minister Ferguson said.
“This fund will provide capital finance and active management to help promising Australian renewable energy companies achieve commercial success in Australia and overseas markets.
“The Australian Government has a strong record of delivering support to the renewable energy sector and this is yet more evidence of our commitment to innovation.”
The Southern Cross Renewable Energy Fund forms part of the Australian Government’s $3.2 billion Australian Renewable Energy Agency.
Southern Cross Venture Partners Pty Ltd is led by experienced investment professionals, and has offices in Sydney, Palo Alto and Shanghai.
The fund is expected to be operational in early 2012, and will actively seek further private sector funding to support its portfolio of companies.
More information on the fund is available at the Australian Renewable Energy Agency’s website.