PG Impact Investments has closed its inaugural social impact fund with commitments totaling US$210m, exceeding its initial target of US$150m.
(Press Release) PG Impact Investments has seen strong client demand for its inaugural fund, PG Impact Investments I, L.P. (“the Program”). The Program’s fundraising ended in December 2018 with commitments totalling USD 210 million, significantly exceeding its initial target of USD 150 million.
The Program follows a global, integrated, relative value approach to impact investing with the goal to improve the lives of people who are underserved while generating attractive financial returns. The Program has a strong focus on emerging markets with the aim to generate impact where impact is needed most. It invests across the main social impact sectors (financial inclusion, affordable housing, energy access, agriculture/food, health and education) in alignment with the UN Sustainable Development Goals and across the entire capital structure (equity, mezzanine and debt) through direct investments and select fund partnerships.
The Program is advised by a dedicated, specialized global impact investment team and leverages the global infrastructure, investment know-how and specialist resources of Partners Group, the global private markets investment manager. The assessment and management of social and environmental impact form an integral part of the investment process. The Program’s impact is continuously measured and reported to its clients via quarterly investment updates and an annual impact report.
Urs Wietlisbach, Co-Founder of Partners Group and Chairman of PG Impact Investments, states: “We are pleased to see the growing interest from private and institutional investors in impact investing. We hope that with our institutional approach to impact investing, we can be a catalyst for unlocking additional private and institutional capital needed to fund the UN Sustainable Development Goals.”
At the time of its final close, the Program was already committed to 19 investments on behalf of its clients across a diverse range of impact sectors and geographies. Examples include Shared-X, a producer of specialty and organic crops working with smallholder farmers in Latin America to help them increase their yields and provide market access; BroadReach, a health systems management company that significantly improves the allocation of donor funding and the effectiveness and reach of large scale health programs delivered across Africa; Greenlight Planet, a producer and distributor of high quality, durable solar products, reaching millions of households living “off-grid” in Africa and Asia; Neogrowth, an Indian “impact fintech” company, leveraging alternative data and payment systems to provide loans to Micro/SMEs who have limited or no access to the traditional banking system or microfinance institutions.
Urs Baumann, Co-Founder and CEO of PG Impact Investments, adds: “With the fund’s seed capital, we were already able to improve the lives of more than 1.1 million underserved individuals in the developing world. The success of the final close will help us to reach many more. We would like to thank our investors, business partners and supporters for placing their trust in us. Together, we will be able to have a real and lasting positive impact on the lives of underserved people and contribute to the global goal to end hunger and poverty.”
PG Impact Investments’ and Partners Group’s founders and employees made a substantial investment into the Program, committing more than USD 65 million or 31% of the funds raised.