G2 Venture Partners Lines Up $500 Million Sustainable Fund

(Bloomberg) -- G2 Venture Partners closed a new fund with $500 million in commitments from investors to support entrepreneurs focused on the digitization and decarbonization of industries including energy and transportation.

Investors participating in the fund include Shell Ventures, Mitsui & Co. and Daimler AG, according to a spokesman for G2. The fund is also expected to support companies in manufacturing, logistics and agriculture.

The fund’s closing comes amid mounting investor focus on the decarbonization of industries -- not just power grids and transportation, but other sectors including agriculture and steel.

“We have to attack every industry if we want a shot at addressing the climate crisis,” Brook Porter, a founding partner at G2, a venture-capital and growth-equity firm, said in an interview. “We have to take technology that exists and scale them as fast as possible.”

G2, founded in 2017 by former Kleiner Perkins Green Growth Fund partners, previously closed a $350 million fund. The firm’s portfolio companies include LiDAR manufacturer Luminar Technologies Inc., electric-vehicle technology company Proterra Inc. and digital renewable-energy utility Arcadia, according to a statement.

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