You are here

Total becomes a founding partner of the Cathay Smart Energy Fund

05th April 2018

Total Energy Ventures (TEV), Hubei High Technology Investment Guiding Fund and Cathay Capital have signed a Heads of Agreement to launch the Cathay Smart Energy Fund, an investment fund dedicated to energy sector in China.

Girish Nadkarni, CEO of TEV, and Bertrand de La Noue, Country Chair, China
Girish Nadkarni, CEO of TEV, and Bertrand de La Noue, Country Chair, China

The fund will focus its investments on emerging technologies and new business models of the Chinese energy sector, notably renewable energy, energy internet, energy storage, distributed energy, smart energy and low carbon activities. It will allow Total to explore new opportunities in China and identify new business models and technologies.

TEV and Hubei High Tech will invest around 300 million RMB in the fund (50 million USD) each. Following the first closing, other partners will join the fund with a target final volume of capital of over 1,5 billion RMB (around 250 million USD).

“China is at the forefront of 21st century energy technologies. Through this investment, we are delighted to become a part of the innovation ecosystem of the Chinese energy sector, benefiting from the knowledge of the Chinese market that Cathay Capital brings to us. We believe that it represents a significant growth and innovation potential in areas of new energies and sustainable development and resonates with Total’s ambition to become the responsible energy major,” said Patrick Pouyanné, Chairman and CEO of Total.

Everything changes at lightning speed. If you’re not paranoid, if you don’t check your rearview mirror constantly, you’re at risk of being overtaken.” Girish Nadkarni, CEO of Total Energy Ventures (TEV), doesn’t mince words when he talks about what’s at stake in his job. He identifies the start-ups with the most potential, spots trends and has a long-term vision of the business. 

On March 27, TEV finalised one of its biggest investments ever in a fund. It did so in China, a country for which only superlatives will do and which is already a global leader in innovation.

By investing around 300 million RMB in the fund (around 50 million USD equivalent), Total has made it possible to launch the Cathay Smart Energy Fund, alongside the provincial government of Chinese province Hubei (through Hubei High Tech Fund) and Cathay Capital. As one of the biggest energy investment funds in China, it will focus its on areas related to renewable energies, the energy internet, energy storage, distributed energy, smart energy and low-carbon businesses. 

Through this investment, Total will be able to establish itself in the Chinese ecosystem, gain visibility and familiarize itself with a market known for its spectacular leaps and bounds in various sectors of interest to the Group.