Australian Development Investments (ADI) announces US$8 million anchor commitment to AC Ventures through KINETIK partnership
Members of the Australian Investor Delegation to Indonesia and Representatives from the Australian Embassy celebrate the anchor commitment announcement with the AC Ventures Team.
Australia’s flagship impact investment fund, Australian Development Investments (ADI) today announced a US$8 million anchor commitment to Indonesian venture capital firm AC Ventures Climate Strategy.
This commitment will unlock finance for high-impact, scalable businesses in Indonesia that are driving the transition to a low-carbon economy. The AC Ventures Climate Strategy will focus on investment in sectors such as renewable energy, electric mobility, energy efficiency, waste management & circular economy, and climate-smart agriculture with the aim of achieving a reduction of 10 megatons of CO2 emissions.
This investment underscores the Australian Government’s focus to support innovative solutions that address climate change and promote sustainable development in Indonesia and is the first ADI investment through KINETIK – the Australia-Indonesia Climate, Renewable Energy and Infrastructure Partnership.
A Shared Vision for a Sustainable Future
AC Ventures, a leading venture capital firm with a strong track record of investing in sustainable businesses, is well-positioned to leverage its expertise and network to maximise the impact of the Climate Strategy.
As well as capital, ADI will provide AC Ventures and portfolio companies with strategic support, to embed a gender lens investment approach, assist portfolio companies to scale their operations and achieve measurable environmental and social impacts.
“The Australian Government’s anchor commitment will enable AC Ventures to identify, invest in and support businesses that are at the forefront of the energy transition,” said Gita Kamath, Chargé d’affaires at the Australian Embassy Jakarta.
“ADI is committed to investing in funds that deliver both financial returns and measurable climate, gender and development impacts.”
ADI’s anchor commitment of $US8 million is expected to catalyse additional investment from private sector institutions and investors and accelerate the deployment of capital towards technological solutions that fight climate change.
“This partnership is a testament to the growing recognition of the importance of climate-focused investments. Together, we can drive meaningful change and contribute to a more sustainable future,” said Helen Wong, Managing Partner at AC Ventures.
Australian Investor Mission to Indonesia
The announcement coincides with an Australian investor delegation to Indonesia including long-term investors Macquarie Group, ANZ Bank and Aspen Medical plus investors in healthcare, logistics, infrastructure, energy, mining and resources.
Australian companies have invested more than USD 4.3 billion in Indonesia over the last decade and are now investing over US$500 million per year. Greater investment in Indonesia’s SMEs through ADI will help Indonesia reach its economic growth target, and draw Australian foundation and family office impact investors into the region.
“We want to see Australian investors recognising and capitalising on the opportunities Indonesia presents and there are many different entry points to the market, including impact-focused venture funds like AC Ventures,” said delegation leader Jennifer Westacott.
For more information about AC Ventures and and their thesis around Impact and Climate please, please visit https://acv.vc.