KKR’s global climate transition strategy has secured a commitment from Alterra, a $30bn Abu Dhabi-based investment vehicle backed by the United Arab Emirates, marking another allocation into the private equity firm’s energy transition platform, according to a report by Bloomberg.
Alterra operates as a fund-of-funds vehicle focused on scaling clean energy and climate-related investments, with a mandate to mobilise private capital into real assets supporting decarbonisation. The platform, established and overseen by the UAE, has already partnered with several major alternative asset managers including BlackRock, Brookfield Asset Management and TPG.
In a statement, Alterra said its allocation to KKR is aligned with its broader strategy of deploying capital into infrastructure and real assets that support the energy transition. The size of the commitment was not disclosed.
Launched at COP28 in Dubai in 2023, Alterra was designed to advance blended finance structures intended to reduce risk for private investors and crowd in institutional capital to climate-related investments, particularly in emerging and developing markets. The UAE has previously indicated that the model could help unlock up to $250bn in climate-focused investment by 2030.
The partnership underscores continued momentum behind private capital strategies targeting energy transition themes, including renewable energy, grid modernisation, energy storage and industrial decarbonisation – areas that KKR’s climate transition fund actively invests in.
The strategy is managed by KKR partners Charlie Gailliot and Emmanuel Lagarrigue, and forms part of the firm’s broader push into infrastructure-like assets within private markets, where long-term contracted cash flows and secular demand trends have attracted growing institutional interest.
