Nordic bank SEB has created a new unit to invest venture capital in green technology companies in the region.
SEB Greentech will initially have SEK300 million ($34 million) to pump into green startups, but the banks says it wants to increase this to SEK1 billion over time.
The unit will invest in companies that develop technology which "in a decisive way can improve the use of natural resources and reduce negative ecological impacts". This could mean investments in renewable energy, energy storage, water and agricultural technology, circular business models and waste management.
SEB Greentech will be led by Markus Hökfelt, who has been recruited from Almi Invest, where he runs a similar green fund. He will work with a Greentech Investment Committee and an external advisory board.
Johan Torgeby, presiden and CEO, SEB, says: "This is an expression of our ambition to contribute to a sustainable transition. It is critical that young greentech companies gain access to funding at an early stage so they can realise the creation of technologies, products and services that can benefit society, our customers and shareholders."