Ara Partners Releases Public Industrial Decarbonization Report
Report Outlines Generational Investment Opportunity in Decarbonizing Industry
Provides Total Emissions Reduction and Waste Mitigation Across Ara Partners Portfolio
BOSTON and WASHINGTON, May 23, 2024 /PRNewswire/ -- Ara Partners today announced the publication of its Industrial Decarbonization Report, highlighting the firm's progress and performance in 2023 as it helps to build future-fit businesses that have the ability to significantly decarbonize the industrial economy.
By taking a dual approach to industrial decarbonization, Ara specializes in using private equity and infrastructure strategies to commercialize and scale businesses that are critical to the transition to net-zero. With approximately $6.2 billion in assets under management as of December 31, 2023, Ara's portfolio today is comprised of 28 companies targeting high-impact industrial sectors, including manufacturing, chemicals and materials, food and agriculture, and supply chain businesses.
Since 2017, Ara has invested in accelerating the growth of both existing businesses and new, proven technologies that underpin a lower-carbon economy throughout North America and Europe. Supported by a strong bench of operating partners, Ara's investment team brings a wealth of private equity and infrastructure expertise to strengthen the foundation of each portfolio company. Ara's team supports the development and execution of commercial growth strategies that target the maximization of impact and long-term returns.
By focusing on two primary pillars – emissions reduction and waste management – that are integrated and evaluated across all its investments, Ara targets investments that contribute to the reduction of GHG emissions or waste, with the potential to deliver 60% or greater GHG emissions reduction at the product, service or asset level compared to market incumbents.
"To date, decarbonization efforts have largely focused on the 27% of global GHG emissions coming from power generation, with an overwhelming amount of climate-focused capital investment directed towards wind, solar, battery storage, and electric vehicles (EVs). $9.2 trillion in annual spending is required to meet climate targets," said Irina Markina, Managing Director and Chief Decarbonization Officer at Ara Partners. "In addition to the power sector, capital must be mobilized towards 'the world of made things', targeting high-impact industrial sectors, including industrials and manufacturing, chemicals and materials, food and agriculture, and supply chain businesses. At Ara, we've taken a differentiated approach by investing in proven technologies that are essential to displacing existing, fossil fuel-based industrial processes and building the new infrastructure required to underpin a lower-carbon economy."
In 2023, Ara reduced emissions by an estimated 10.8m metric tonnes of CO2 equivalent and eliminated an estimated 424.4k metric tonnes of waste.
Ara Partners brings together a strong and unique blend of industry veterans with technical, operational, private equity and infrastructure expertise to seek to maximize decarbonization results while advancing the development of businesses with high-value, sustainable long-term models.
To access the public report, please visit https://www.arapartners.com/news-and-insights/. The publication of the industrial decarbonization report follows Ara's recent brand refresh and new website launch.
About Ara Partners
Ara Partners is a global private equity and infrastructure investment firm focused on industrial decarbonization. Founded in 2017, Ara Partners seeks to build and scale companies with significant decarbonization impact across the industrial and manufacturing, chemicals and materials, energy efficiency and green fuels, and food and agriculture sectors. The company operates from offices in Houston, Boston, Washington, D.C., and Dublin. Ara Partners closed its third private equity fund in December 2023 with over $2.8 billion in new capital commitments. As of December 31, 2023, Ara Partners had approximately $6.2 billion of assets under management.
For more information about Ara Partners, please visit www.arapartners.com.
Media Contacts:
Scott Bisang / Jack Kelleher
Collected Strategies
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SOURCE Ara Partners
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