The manager of Saudi Arabia’s public pension fund is making a substantial anchor commitment to a new TPG infrastructure fund as part of a $1.5 billion strategic partnership.
The global alternative money management firm and Hassana Investment Co. — the manager of the kingdom’s 1.2 trillion Saudi riyal ($319.8 billion) General Organization for Social Insurance — formed a strategic partnership in the TPG Rise Climate platform, a Wednesday joint statement said. The partnership includes “a substantial anchor commitment” to the platform’s new Transition Infrastructure fund.
TPG Rise Climate is the dedicated climate investing strategy of the manager’s $19 billion global impact investing platform, TPG Rise. The strategy takes a broad-based sector approach to investment types, focusing on climate solutions in thematic areas covering clean electrons, clean molecules and materials, and negative emissions.
Jim Coulter, founding partner and executive chair of TPG, is managing partner of TPG Rise Climate. Former U.S. Treasury Secretary Hank Paulson is executive chair of the platform.
“There is an incredibly strong alignment between Hassana’s goals and the unique set of strategies we’ve developed across TPG,” Jon Winkelried, CEO of TPG, said in the statement. “We look forward to working closely with Hassana, known for its collaborative approach and long-term investment horizon.”
The partnership “demonstrates TPG and Hassana’s shared commitment to leading the evolution of the climate investing space,” Winkelried said.
“TPG Rise Climate’s position as an established impact-driven platform with a track record of delivering strong returns makes TPG an ideal partner for Hassana,” Hani Aljehani, CIO of international markets at Hassana, said in the same statement.
The partnership signifies the importance of international and local partnerships in addressing global climate challenges, the statement said.
TPG has $224 billion in assets under management and invests across alternative strategies including private equity, impact, credit, real estate and market solutions.
Spokespeople for Hassana could not immediately be reached for comment.