The Radical Fund, an early-stage, climate-focused investor headquartered in Bangkok, has partnered with Keppel‘s real estate division to source climate solutions within the region’s real estate industry.
The partnership comes as the real estate industry accounts for nearly 40% of global carbon emissions, per the announcement.
The collaborative efforts focus on driving innovation in sectors such as the built environment, renewable energy, decarbonisation, and infrastructure technology.
“This partnership represents a significant step towards accelerating the development and adoption of cutting-edge technologies that address climate-related challenges relevant to the real estate development and built environment sectors,” said Alina Truhina, CEO and Managing Partner of The Radical Fund.
Under the memorandum of understanding, The Radical Fund will identify and support technology-enabled companies that offer sustainable solutions aligning with Keppel’s strategic priorities, such as improving energy efficiency, optimising operations, and minimising environmental impact.
The companies will be assessed based on their ability to provide sustainable technological solutions within Keppel’s strategic priority areas.
The Radical Fund will provide technical support to these companies to ensure that their solutions have a Technology Readiness Level (TRL) to be considered for pilot projects with Keppel.
The Radical Fund primarily backs early-stage ventures (pre-seed to pre-Series A, plus follow-on) in emerging markets, with an average ticket size ranging from $250,000 to $500,000.
With offices in Singapore and Thailand, it currently has a four-member team in Southeast Asia, which is likely to be scaled up to 15 over the next two years.
The firm, which is raising its first Southeast Asia fund of around $40 million, claims to be seeing an increased appetite and appreciation for funds that are climate or sustainability-focused, especially from second generations of family offices, foundations, and impact investors.