GULF invests THB2.7 billion in renewable energy and sustainable investments fund
Gulf Energy Development Public Company Limited (GULF) announced that Gulf International Investment (Hong Kong) Limited (Gulf HK), its wholly-owned subsidiary, entered into a subscription agreement to commit to invest EUR 75 million, which is equivalent to approximately THB 2.7 billion, in Lightrock Climate Impact Fund SCSp (LCI Fund).
The LCI Fund targets ESG-aligned investments, with a fund life of approximately 10 years and an investment period of 5 years for which capital calls will be made gradually.
Ms Yupapin Wangviwat, GULF's Chief Financial Officer, stated “LCI fund targets to invest in European-focused innovative and fast-growing companies that deliver measurable greenhouse gas impact, since Europe has allocated massive funds with concrete plans for investment in the energy transition from fossil fuels to clean alternatives.
"This is in line with GULF’s objective to focus on investments in renewable energy-related businesses and climate management, in accordance with the global target to achieve net zero emissions by 2050.
"Furthermore, this investment demonstrates GULF’s commitment towards environmental and social responsibility while achieving good financial returns.”
LCI Fund is advised by Lightrock, which was founded by the Princely House of Liechtenstein and is backed by LGT Group; a leading private banking and asset management group.
LCI Fund targets ESG-aligned investments across different investment themes such as Energy Transition, which includes renewable energy, battery storage and energy efficiency; Decarbonizing Industries, which includes carbon capture and storage, and green industrial processes; Sustainable Transportation; Sustainable Food and Agriculture, and Enabling Technologies and Solutions, which includes advisory services for developing emission reduction projects.
The investment is an attempt to follow Thailand's policy which aims to become carbon neutral in 2050 and achieve net zero greenhouse gas emissions in 2065, as Prime Minister Prayut Chan-o-cha had announced in the 26th United Nations Climate Change Conference (COP26) in November 2021.