Brookfield and ALTERRA Launch $1 Billion Fund to Drive Net-Zero Transition in India

Brookfield Asset Management and ALTERRA Management have launched the Catalytic Transition Fund to support companies in emerging markets like India achieve net-zero targets. They aim to mobilize $5 billion in capital, focusing on high-impact opportunities in South and Southeast Asia. A first close is expected by the end of 2024.

Brookfield Asset Management and ALTERRA Management revealed Thursday the establishment of a new fund aimed at aiding businesses in emerging markets, including India, to achieve net-zero status. The Catalytic Transition Fund (CTF) plans to mobilize $1 billion from ALTERRA, ultimately aiming for $5 billion in industrial investments.

The joint initiative emphasizes critical areas such as South and Southeast Asia. These regions exhibit strong corporate decarbonization demand and supportive policy directives. By leveraging Brookfield's platform capabilities, the fund intends to capitalize on these opportunities effectively.

Additionally, Brookfield will contribute at least 10% of the fund's total capital, ensuring alignment of interests with its partners. Slated for a first close by late 2024, CTF aims to address the chronic underfunding of clean energy initiatives in developing economies, despite their substantial contribution to global emissions.