#SaudiArabia’s Hassana Backs TPG Climate Funds with $1.5 Billion - Bloomberg

Saudi Arabia’s Hassana Backs TPG Climate Funds with $1.5 Billion - Bloomberg

Saudi Arabia’s main pension fund is set to back TPG’s climate vehicle under a $1.5 billion partnership, marking the latest instance of an oil-rich Gulf state supporting efforts aimed at reducing carbon emissions.

Hassana Investment Co., which manages over $320 billion for Saudi Arabia’s General Organisation for Social Insurance, is set to make “a substantial anchor commitment” to TPG Rise Climate’s new Transition Infrastructure fund, according to a joint statement Wednesday. The remainder of Hassana’s commitment will be allocated to the TPG Rise Climate II fund.

Hassana has become an increasingly prominent global investor since Saudi Arabia merged two of its pension and insurance funds in 2021. It signed a memorandum of understanding with BlackRock in 2022 to promote and develop an infrastructure strategy.

“Large and sophisticated investors like Hassana are essential to meeting the growing capital demands of the new climate economy,” said Jim Coulter, TPG Founding Partner and Managing Partner of TPG Rise Climate.

TPG Rise Climate is the dedicated climate investing strategy of the US firm’s $19 billion global impact investing platform, TPG Rise. The Hassana deal comes months after the United Arab Emirates announced a plan to put $30 billion into a new climate fund to back projects to reduce emissions.