Ara Partners announces the close of Ara Fund III at increased hard cap

Ara Partners, a leading private equity and infrastructure investment firm that specializes in industrial decarbonization, has held a final close of Ara Fund III at its hard cap of $2.8 billion. Fund III is over 150% larger than its predecessor, Ara Fund II, which closed in September 2021 at $1.1 billion.

The new fund, which was significantly oversubscribed at an increased hard cap, received the support of Ara’s existing investor base and a diverse set of new institutional investors comprised of pension funds, insurance companies, sovereign wealth funds, endowments and foundations from North America, Europe, and the Asia-Pacific region.

Fund III will continue Ara’s strategy of investing in the decarbonization of the industrial economy, the greatest source of carbon emissions globally. Leveraging significant technical and operations expertise, the Fund will pursue both buyout and growth investments in industrial companies primarily headquartered in the United States, Canada and Europe that have the potential to achieve reductions in carbon emissions across sectors including industrial and manufacturing, chemicals and materials, energy efficiency and green fuels, and food and agriculture.

Rede Partners is delighted to have supported Ara Partners as global placement advisor. We extend our warmest congratulations to the whole Ara team and look forward to our continued partnership.