Virescent Ventures Fund II injects new climate tech capital
Supporting companies developing innovative decarbonisation solutions
The Virescent Ventures second climate tech fund has raised more than $150 million for investment into climate technologies, with the backing of the CEFC, Westpac, QIC, Breakthrough Victoria and other investors.
$52.5 million
CEFC investment
$150 million
fund size
Innovative
net zero solutions
The world needs new technology that delivers sustainable growth, and the companies that develop those solutions have a huge commercial opportunity. As Australia’s most active climate tech investment manager, we are excited to be at the forefront of supporting the next wave of Australian climate tech innovators to grow and succeed.Ben Gust and Kristin VaughanManaging Partners, Virescent Ventures
Our investment
The CEFC, Westpac and QIC are major investors in the second climate technology investment fund managed by Virescent Ventures.
Virescent Ventures, a specialist fund manager created by the CEFC in 2022, is co-owned by the CEFC and its founders, who are former CEFC senior executives.
The CEFC, through the Powering Australia Technology Fund, has committed more than $50 million to Virescent Ventures Fund II,* which has more than $150 million to deploy into climate technologies. Fund II has attracted over 60 investors and more are expected to come on board.
Fund II prioritises strategic investments in innovative technologies and solutions critical for the global transition to net zero.
This includes advancing the clean energy transition, electrifying the economy and improving grid management, decarbonising transport and developing smarter cities, building more sustainable food and agricultural systems, and fostering a circular economy.
For more about Fund II investments see the Virescent Ventures website.
*At 31 October 2025
OUR IMPACT
Backing Australia’s climate tech pioneers
As Australia’s growing climate tech sector matures, we are seeing the development of innovative products and models that have the potential to accelerate our transition to net zero emissions.
The CEFC began investing in climate tech through the Clean Energy Innovation Fund (CEIF) in 2016.
As Australia’s largest specialist climate tech investor, the CEFC created Virescent Ventures to continue leading the market in developing a thriving climate tech ecosystem.
Virescent Ventures oversees CEIF investments on our behalf, with the team having deployed more than $270 million in CEFC capital during the CEIF lifetime across 37 climate tech businesses and funds.
Capital needed for further impact
The 2024 Australian Climate Tech Industry Report, produced by industry network Climate Salad, says there is strength and momentum in Australia’s fast scaling climate tech industry. It also reports that market conditions continue to make raising capital challenging, but 80 per cent of companies it surveyed are aiming to raise capital in the next 12 months.
The report says with the right mix of capital injected now, Australian tech has the potential to create lasting domestic and international impact.
