Climentum Capital Closes $63M Fund II for Climate Tech

Jan de Vries · 2026-07-03

Copenhagen-based Climentum Capital has hit the first close of its second fund at $63 million, matching the full size of its first fund. The firm continues to back European climate HardTech companies that aim to strengthen the continent's industrial resilience, sustainability, and competitiveness. ### Who's backing the fund? The European Investment Fund (EIF) committed $42 million to the fund. Denmark's Export and Investment Fund (EIFO) invested $15.8 million, and the Danish Society of Engineers (IDA) put in $5.3 million. That's a solid mix of public and institutional money. "The fundraising environment for early-stage climate HardTech hasn't been easy in recent years," says Morten Halborg, General Partner at Climentum Capital. "Investors are more selective, timelines are longer, and the proof bar is higher. That's why the composition of the Fund II launch matters: our investor syndicate reflects informed conviction, not momentum investing." ### A busy year for European climate tech Climentum's first close comes amid a flurry of 2026 funding activity across European climate HardTech, industrial decarbonization, and adjacent energy-transition sectors. EU-Startups has reported at least $257 million in disclosed startup funding across comparable areas this year, including: - RIFT's $120 million financing for industrial heat in the Netherlands - Entrix's $45.3 million raise for battery optimization in Germany - D-CRBN's $18.4 million Series A for industrial CO2 conversion in Belgium - Exergy3's $12 million Seed round for clean industrial heat in the UK Danish relevance is also visible through Copenhagen-based Kvasir Technologies, which raised $10.5 million to scale climate-neutral marine biofuel. ### Why this fund matters "Europe has excellent research and business ideas," adds EIF Deputy Chief Executive Merete Clausen. "To build on these, it needs investors willing to back companies developing the industrial technologies that will shape the next generation of clean growth. Climentum Capital Fund II addresses an important financing gap by supporting entrepreneurs building climate solutions for the real economy." Founded in 2022, Climentum backs HardTech companies that can help reduce the carbon footprint of sectors responsible for a big chunk of Europe's greenhouse gas emissions. Its first fund launched at $63 million and has already delivered a realized exit, with Studsvik acquiring KNXT less than three years after Climentum's initial investment. The firm says the deal proved its thesis in action, with a strategic industrial player grabbing capabilities needed to stay competitive. ### What's next for Fund II Climentum Capital Fund II is targeting up to $105 million and will invest mainly in Seed and Series A companies developing hardware and DeepTech solutions across energy, industry, transport, and agriculture. The fund will focus on businesses working on energy security, industrial efficiency, supply chain sovereignty, and industrial decarbonization, particularly across Denmark, Sweden, Germany, Austria, and Switzerland. The new fund is structured as an Article 9 fund and uses a dual carry model that links the firm's economics to both financial returns and verified CO2 savings. Climentum aims to support companies whose technologies can reduce CO2 emissions by around 1.5 million tonnes a year—that's equivalent to emissions from 350,000 gasoline-powered cars driven for one year. "EIFO's mission is to accelerate the green transition while strengthening Europe's strategic independence," says EIFO Chief Investment Officer Erik Balck Sørensen. "Through our investment in Climentum Capital Fund II, we are helping to scale critical, yet significantly underfunded, climate technologies." ### The bottom line Climentum Capital is proving that even in a tough fundraising market, conviction beats momentum. With a strong syndicate and a clear focus on industrial decarbonization, Fund II could be a key player in Europe's clean tech future.