A-SIF’s investment will support Kaer’s expansion of its existing presence in Singapore, Malaysia, India and Indonesia, as well as seed growth in new regional markets including Thailand and Vietnam.
With 30% growth in 2024 and a further 50% growth projected from existing contracts coming in 2025, the investors say the new capital will allow Kaer to scale its operations while further enhancing customer experience.
By 2028, Kaer aims to deliver low-carbon cooling to 100 million sq ft of commercial real estate, helping to eliminate 120 million kg of carbon emissions.
Kaer remains under the same management, with A-SIF “initially holding a minority stake”, committing additional growth capital to support further expansion and business development.
See also: Kaer feature from 2022: Creating green buildings with smart cooling, efficient grids
Justin Taylor, CEO of Kaer, says: “With this investment, we will accelerate the expansion of our CaaS model into new markets, scale our technology-driven solutions, and help our customers reduce their carbon footprint while lowering costs. As demand for sustainable cooling grows across Asia, we remain committed to pioneering the transition towards a more energy-efficient and decarbonised built environment.”
Saji Anantakrishnan, head of infrastructure for Australia and Asia at Patrizia, adds: “This fourth investment for A-SIF marks a strategic expansion into cooling-as-a-service infrastructure. Kaer has built a market-leading business in an emerging sector that delivers both sustainability benefits and cost savings to customers. This platform exemplifies the merits and value-creation potential of midmarket infrastructure investing at its best.”
A-SIF was launched in January 2023 with US$110 million equity to invest at first close. The Development Bank of Japan is an anchor investor, with other investors based in Japan and Europe.
See also: Patrizia, Mitsui & Co launch APAC Sustainable Infrastructure Fund with up to US$1 bil target
The fund set out to invest in the four core sectors of energy (50%), digital (20%), social (20%) and mobility (10%) across “key developed markets” including Australia, Japan, Singapore, South Korea, New Zealand and Taiwan, as well as in “select developing Asian markets”.
In October 2023, A-SIF made its debut investment by committing to invest up to A$70 million in a major solar and battery development programme in Australia.
A-SIF is the second fund from the Patrizia-Mitsui collaboration, following the launch of the Emerging Market Infrastructure Fund (EMIF) in 2008.
