Neev Fund II

Neev Fund II is a private equity fund managed by SBI Ventures Limited, a subsidiary of the State Bank of India. The fund was launched in May 2021 as a successor to Neev Fund I, aiming to provide growth and capital expansion to small and medium-sized enterprises (SMEs) in India. Its primary focus is on companies offering solutions in clean energy, electric vehicles, efficient use of raw materials, water management, and circular economy projects. By investing in these sectors, Neev Fund II seeks to support India's transition towards a sustainable and low-carbon economy.

The fund targets high-growth SMEs that are delivering transformative climate-tech and environmental solutions. It provides equity and quasi-equity investments, typically ranging from EUR 5 to 20 million, taking significant minority stakes in the companies. Neev Fund II emphasizes active engagement with its portfolio companies, offering strategic guidance, ESG integration, and operational assistance. This approach aims to scale up SMEs that are critical to the success of global climate action and environmental sustainability.

Neev Fund II is backed by several institutional partners, including the State Bank of India (SBI), European Investment Bank (EIB), Foreign, Commonwealth & Development Office, Government of UK (FCDO), Japan International Cooperation Agency (JICA), Small Industries Development Bank of India (SIDBI), and Self-Reliant India (SRI) Fund. These partnerships reflect a shared commitment to supporting climate action and environmental sustainability in India. The fund's investments are aligned with the United Nations Sustainable Development Goals, particularly focusing on limiting climate change through energy, agricultural, water, and waste management technologies.

In its investment strategy, Neev Fund II goes beyond traditional impact investing by actively engaging with its portfolio companies to provide regulatory support, access to finance, and organizational development. This comprehensive support model aims to foster the growth of SMEs that are contributing to India's climate resilience and sustainable development objectives.

Overall, Neev Fund II plays a pivotal role in advancing India's green transition by investing in innovative SMEs that are addressing critical environmental challenges and promoting sustainable economic growth.