Danish Climate VC Climentum Capital Hits $63M First Close for Fund II

Jan de Vries · 2026-07-03

Copenhagen-based Climentum Capital has hit the first close of its second fund at $63 million (€60 million). That matches the entire size of its first fund. The firm keeps betting on European climate HardTech companies that aim to boost the continent's industrial resilience, sustainability, and competitiveness. The European Investment Fund (EIF) committed $42 million (€40 million) to the fund. Denmark's Export and Investment Fund (EIFO) put in $15.8 million (€15 million). The Danish Society of Engineers (IDA) added $5.3 million (€5 million). ### A Tough Fundraising Market "The fundraising environment for early-stage climate HardTech has not 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 is why the composition of the Fund II launch matters: our investor syndicate reflects informed conviction, not momentum investing." He's not wrong. Raising money for climate tech has become a grind. But Climentum's backers show real belief in the space. ### Broader Market Activity Climentum's first close comes amid continued 2025 funding activity across European climate HardTech, industrial decarbonisation, and energy-transition sectors. At least $256 million (€244.1 million) in disclosed startup funding has moved through comparable areas this year. That includes RIFT's $119 million (€113.8 million) financing for industrial heat in the Netherlands, Entrix's $45 million (€43 million) raise for battery optimisation in Germany, D-CRBN's $18.4 million (€17.5 million) Series A for industrial CO₂ conversion in Belgium, and Exergy3's $12 million (€11.4 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 (€10 million) to scale climate-neutral marine biofuel. Climentum has previously backed Nature Robots and invested in one.five, placing the new fund within a wider European pattern of capital moving into technologies linked to industrial efficiency, energy security, circularity, and emissions reduction. ### Why This Matters for Europe "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." That gap is real. Many climate startups struggle to find patient capital for hardware-heavy solutions. Climentum is stepping into that void. ### Track Record and Strategy Founded in 2022, Climentum Capital backs HardTech companies that 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 (€60 million) and already delivered a realised exit. Studsvik acquired 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 buying capabilities needed to stay competitive. Climentum Capital Fund II is targeting up to $105 million (€100 million). It will invest primarily 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 decarbonisation, particularly across Denmark, Sweden, Germany, Austria, and Switzerland. ### A Unique Dual Carry Model The new fund is structured as an Article 9 fund under EU rules. It uses a dual carry model that links the firm's economics to both financial returns and verified CO₂ savings. Climentum Capital Fund II 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." - Climentum's first close matches its entire first fund size at $63 million - EIF committed $42 million, EIFO $15.8 million, IDA $5.3 million - Fund targets up to $105 million for Seed and Series A climate HardTech - Dual carry model ties returns to both financial performance and CO₂ savings This fund represents a bet on Europe's ability to build industrial technologies that cut emissions and strengthen supply chains. For climate tech founders, it's a signal that patient capital still exists for the hard stuff.