Schneider Electric backs $518m fund for industrial tech start-ups

SE Ventures, a corporate venture capital fund created in partnership with Schneider Electric, the global leader in the digitalization of industrial automation and energy management, has announced the launch of €500 million ($518 million) Fund II, one of the largest VCs focusing on climate and industrial technology.

Based in California, and working with entrepreneurs around the world, SE Ventures provides capital to big ideas and bold entrepreneurs who can benefit from Schneider Electric’s deep domain expertise, research and development (R&D) assets and global customer base.

Backed by Schneider Electric, this move builds upon a 2018 Fund I to bring SE Ventures to €1 billion ($1.03 billion) of committed capital. 

The Fund II will begin deployment in January 2023, doubling down on SE Ventures’ track record of success as an accelerant for category-defining companies in climate-tech, industrial AI, mobility, prop-tech and cybersecurity.

SE Ventures grows to €1 billion establishing itself as one of the largest venture capital platforms focused on electrification, digitization and decarbonization building on its highly successful Fund I track record, said a top official.

“We live in a world that’s facing crises on three fundamental levels: energy, economy and climate,” remarked Nadège Petit, the Chief Innovation Officer of Schneider Electric. 

“There’s never been a greater need for transformation, or a greater opportunity for positive impact – impact that we create by innovating in three fundamental ways: electrification, digitalization and decarbonization,” she stated. 

“Through this Fund II launch, which is a continuation of our capital allocation strategy to the startup ecosystem, we are reinforcing our commitment to a future where startups with bold solutions and companies with bold ambitions together have access to the resources, tools and partners they need to meet this moment and make an even better future,” noted Petit.  

The Schneider Electric-backed venture capital fund has created a track record of successfully accelerating category-defining companies through a strong and experienced team of investors and operators, who have a deep network of founders, VCs and industry experts. 

SE Ventures is led by Amit Chaturvedy, the Global Head and Managing Partner, along with General Partners, Grant Allen and Varun Jain – a senior team of seasoned professionals with collective investing experience of 40+ years across startups and corporate business development – and supported by a growing team of investment professionals and globally based Operating Partners who are focused on portfolio business development.

Structured like a typical venture fund, SE Ventures prioritises agility in decision-making and commercial acceleration of its investments, while providing unparalleled access to Schneider Electric’s global ecosystem of customers and partners. 

Throughout Fund I, SE Ventures has repeatedly proven the efficacy of its unique model, with investments in over 40 startups and seven venture funds alongside partnership engagement with over 200 startups.

Chaturvedy said it was excited to partner with Schneider Electric for Fund II. 

“Together, SE Ventures and Schneider Electric are building a better future, investing in big, disruptive ideas that accelerate the world’s sustainability agenda while driving better business outcomes,” he stated.

This will help SE Ventures to continue offering an unparalleled value proposition to the startup ecosystem, where deep understanding of the operating environment and the ability to accelerate businesses make it the ideal partner to startup founders around the world, he added.-TradeArabia News Service