ADI invests $US13 million in Circulate Capital Asia Fund II

Australian Development Investments (ADI) has invested US$13 million in Circulate Capital Asia Fund II to support businesses developing recycling and waste management solutions in Indonesia and across Southeast Asia. 

With this investment, Circulate Capital Asia Fund II has reached a first close of US$220 million, exceeding its initial target and reaching more than 70 per cent of its US$300 million goal. 

This highlights strong investor interest in the circular economy, where businesses reduce waste by keeping products and materials in use for longer through reuse, repair and recycling. 

The investment, which is made through KINETIK, the Australia–Indonesia Partnership for Climate and Sustainable Infrastructure, will help expand recycling infrastructure and circular supply chains in Indonesia, Thailand, Vietnam, the Philippines, Malaysia and India and deepen Australia’s economic partnerships in line with Invested: Australia’s Southeast Asia Economic Strategy to 2040. 

Demand for better waste management is growing rapidly across Southeast Asia, especially in Indonesia. As cities grow, consumption increases and pressure on natural resources rises. 

Circulate Capital Asia Fund II aims to finance recycling businesses capable of processing nearly two million tonnes of waste.  

Over the next 10 years, it is expected to keep 30 million tonnes of waste out of landfill and the environment and reduce more than 50 million tonnes of CO₂ emissions – the equivalent of taking 12 million cars off the road for a year.

 “Circulate Capital is the first and only private markets manager dedicated to circular supply chains in South and Southeast Asia,” said Rob Kaplan, the Founder and CEO of Circulate Capital.  

“With Fund II, we are well positioned to scale investment and deliver both financial and environmental outcomes.”

This investment builds on ADI’s growing portfolio of climate-focused investments in Indonesia through ADI’s KINETIK investment window, including an anchor commitment to AC Ventures’ Climate Strategy.

Explore ADI’s website to see how it invests in the circular economy across the Indo-Pacific. To discuss investment and partnership opportunities through KINETIK, get in touch with the ADI team.