• 2025 has seen a total of $277bn in global sustainable syndicated lending activity (Figure 1), with 71% of such financing being in the form of sustainability-linked loans (remaining 29% classifying as green use-of-proceeds).  
• The proportion of total sustainable lending that classifies as sustainable has increased significantly from the first to the second quarter of 2025, equating to the previous peak of 12% observed in Q1 2024, driven primarily by a 53% uplift in Sustainability-LinkedIn Loan (SLL) deals q/q. 
• When considering Europe and North America, Europe is a key region for green financing with 91% of lending (by volume) occurring in 2025 YTD (Figure 2a). However, North America has higher activity in the SLL market with a significant increase in SLL lending volume from Q1 2025 to Q2 2025. Some of the key transactions driving this were the recently syndicated facilities for Ford Motor and Switch Borrowing Base Facility (BBF).
• Sustainable fundraising volumes across private markets in Europe and North America has declined by 14% (Figure 3), which tracks the broader decline across all fundraising, in part due to the continuing macro and geopolitical uncertainty. 
• Despite the challenging fundraising environment, investors across the private markets are increasingly embedding sustainability into their investment processes as means to unlock value – leading global investors, Carlyle and Apollo, exemplify this shift through their recent sustainability reports. Carlyle employs a revenue-based approach to quantify the revenue linked to customer sustainability requests, while Apollo has developed forecasts attributing an incremental run-rate EBITDA and risk mitigation value to its decarbonisation initiatives. These strategies reflect a broader trend of integrating sustainability considerations as a long-term value creation lever. 

Enfinity Global expands U.S. structured credit facility to $245m to accelerate renewable deployment 

Enfinity Global has expanded its U.S. structured credit facility to $245m to support its 22 GW pipeline of utility-scale solar and energy storage projects. The facility includes participation from institutional investors such as Copenhagen Infrastructure Partners (CIP) through its Green Credit Fund I, alongside Generate Capital, HSBC Asset Management, and Versus Capital. Their participation highlights the increasing role infrastructure investors play as partners with banks to accelerate debt financing towards renewable energy deployment. 

Vantage launches Europe’s first green ABS for data centers

Vantage Data Centers completed a landmark €640 million green securitisation, the first euro-denominated ABS backed by data centre assets in continental Europe. The transaction refinances four fully leased hyperscale data centres in Germany and supports Vantage’s continued EMEA expansion. The notes were structured with a Green Bond designation, aligning with Vantage’s sustainability strategy which focuses on five core areas: GHG emissions, energy, water, waste and community.

RBS International structures €150m green IBLF for Hines European Property Partners 

RBS International, with support from NatWest Sustainable Finance Advisory, has structured a €150 million green investor-backed leveraged facility for Hines European Property Partners (HEPP), with an uncommitted accordion up to €200m. The Article 8 SFDR-aligned Core+ real estate fund targets sustainable acquisitions and developments across key European markets. This marks RBS International’s first real estate fund transaction to integrate the EU Taxonomy’s substantial contribution criteria as part of the assessment criteria governing the eligible use of proceeds. 

Schroders acquires $610m stake in UK offshore wind farm from Ørsted

Schroders Greencoat, the renewable infrastructure investment arm of Schroders Capital, has acquired a 24.5% stake in the UK’s West of Duddon Sands offshore wind farm from Ørsted for £456.1 million (approx. USD $610m). They’re located 14 km off the UK’s west coast, the 389 MW wind farm has been operational since 2014. Ørsted retains a 25.5% interest and continues to operate the site under its existing agreement.

CBRE IM secures €1bn in flexible, sustainability-linked fund-level financing 

CBRE Investment Management, on behalf of a sponsored fund, has secured €1bn in new unsecured fund-level financing as part of a revised debt strategy to support growth and capital stack diversification. The package includes a €250 million sustainability-linked RCF, a €300 million term loan, and a €450 million short-term bridge facility, all provided equally by ABN AMRO, BNP Paribas, CA-CIB, HSBC, and ING. The facilities offer enhanced flexibility, lighter covenants, and competitive pricing, enabling the fund to efficiently pursue acquisitions, developments, and disposals while aligning with its long-term sustainability objectives.

BBVA expands ESG-linked SRT to €6bn, backed by PGGM and Alecta 

BBVA has expanded its ESG-linked synthetic securitisation to a €6bn portfolio, reflecting growing institutional demand for ESG integration within the structured credit asset class. Over 30% of the portfolio ties capital costs to borrowers’ sustainability performance, including emissions reduction, water efficiency, and gender diversity. Structured to meet EU STS criteria, the transaction delivers 79% capital relief for BBVA while aligning with the sustainability goals of co-investors PGGM and Alecta. This milestone underscores BBVA’s leadership in using risk-sharing structures to drive both capital efficiency and ESG impact.

TRIG refinances £500m ESG-linked revolving credit facility at improved terms

The Renewables Infrastructure Group (TRIG) has refinanced and reduced its multi-currency ESG-linked Revolving Credit Facility to £500 million, with a three-year term expiring in March 2028. The new facility features improved pricing, with a margin of 175bps (10bps lower than the previous facility) and continues to be linked to TRIG’s ESG performance against three KPIs: increasing clean energy-powered homes (Environmental), expanding community fund support (Social), and maintaining a low Lost Time Accident Frequency Rate (Governance).

Tikehau Capital raises €1bn to support Egis’ next phase of growth

Paris-based alternative asset management Tikehau Capital announced the launch of a new continuation fund for its climate-focused architectural, consulting, construction engineering, operations and mobility services portfolio company Egis, raising more than €1bn (USD$1.2bn) to support the company’s next phase of growth. The new investment was backed by Tikehau’s flagship private equity decarbonisation strategy, which supports companies advancing energy efficiency, electrification, low-carbon solutions and climate adaptation.

SWEN raises €160m for second blue ocean fund

SWEN Capital Partners has announced it has raised €160m in the first close of its Blue Ocean 2 fund which invests in startups working to support the regeneration of ocean biodiversity as well as tackling existential threats to ocean biodiversity such as overfishing, pollution and climate change.

IFC invests $100m in TPG’s Global South-focused climate solutions strategy

The International Finance Corporation (IFC) has committed $100 million in equity to TPG’s Global South Initiative (GSI) - a climate investment strategy focused on unlocking scalable, high-return opportunities across emerging markets. The new GSI strategy was initially unveiled in December 2023 at the COP28 climate conference in Dubai, targeting $2.5bn in total capital commitments. The strategy is aimed at accelerating and attracting institutional capital at scale by offering return enhancement to encourage private equity investments in high growth climate opportunities across the Global South.

Aligned Climate Capital raises over USD 200m for distributed PV fund

Decarbonisation-focused investment firm Aligned Climate Capital announced that it has raised over $200m in commitments at the final close of its sixth distributed solar fund, Aligned Solar Partners 6 LP (ASP6). ASP6 achieved final close with participation from leading institutional investors in the United States and globally, including insurance companies, endowments, foundations, and family offices.

Power Sustainable secures over US$330m commitments for new middle-market private equity strategy

Montreal-based Power Sustainable, the climate-oriented investment arm of Power Corporation of Canada, has secured $330m for a new private equity strategy targeting mid-market companies driving decarbonisation across North America. The strategy will focus on profitable mid-sized businesses where operational improvements – including enhanced energy efficiency – can deliver both environmental and financial upside. The fund aims to take control or significant minority positions, with flexibility to deploy leverage alongside equity investments.

Carbon Equity raises €105m for Climate Tech Fund

Amsterdam’s Carbon Equity closed its latest funding round at €105 million. The new fund will support around 150 climate innovations, including geothermal energy and battery technologies, through investments in leading venture capital and private equity funds.

Fidelity International raises over $330m for climate-focused real estate fund

Fidelity International has raised an additional €110 million ($119 million) for its Real Estate Logistics Impact Climate Solutions (LOGICs) fund, bringing the total raised since March 2024 to over €310m ($330m). LOGICs, which is Fidelity’s second real estate investment vehicle focused on climate impact, invests exclusively in the logistics sector in the main markets of Western Europe. Via the fund, Fidelity acquires existing properties, and refurbishes them so they can be operated at net zero carbon by enhancing energy efficiency, optimising the heating, cooling and lighting systems, and installing photovoltaic (PV) panels. The fund is classified as Article 9 under the EU’s SFDR regulation.

Sienna IM provides €2m SLL from first debt impact biodiversity fund

Sienna Investment Managers has provided a €2 million ($2.1 million) sustainability-linked loan to Greenpods, a regenerative agricultural projects developer. Greenpods specialises in producing nuts and olives in Europe. The loan supports its newest farm in Spain, currently spanning 30 hectares of almond trees. It plans to plant an additional 23 hectares of almond trees and 52 hectares of olives trees on the site this summer.

Arcmont secures €475m investment mandates from APG, TIAA for new impact lending strategy

Private debt asset management firm Arcmont Asset Management announced the launch of a new Impact Lending Strategy, aimed at providing debt financing to companies whose products and services address environmental and social challenges. The new strategy is being rolled out with two mandates, totalling €475m (USD$518m) already secured, from global pension asset manager APG, and pension, insurance and investment services provider TIAA, one of the world’s largest institutional investors.

Manulife Investment Management announces close of $480m Forest Climate Fund

Manulife Financial’s global wealth and asset management business Manulife Investment Management announced that it has raised $480m in commitments at the final close of its Manulife Forest Climate Fund LP, focused on investing in sustainably managed forests, with carbon as the primary value driver.

Emerging markets climate fund created by EIB and Allianz Global Investors reaches final size of €450m

Allianz Global Investors (AllianzGI) and the European Investment Bank (EIB) announced that they have raised €450m ($468m) for their joint Emerging Markets Climate Action Fund (EMCAF). EMCAF will invest in around 15 funds, which themselves are expected to back about 150 projects to reduce greenhouse gas emissions, cope with the impacts of climate change and promote environmental sustainability.

BNP Paribas AM raises $179m for Cleantech Venture Fund

BNP Paribas Asset Management (BNPP AM) announced that it has raised €172 million (USD$179m) at the final close of its BNP Paribas Solar Impulse Venture Fund (BNPP SIVF), surpassing the initial target size for the fund focused on investing in innovative cleantech startups with positive environmental impact and supporting the acceleration of ecological transition.

Responsability Asia Climate Strategy surpasses USD 350m at third closing

Global impact pioneer responsAbility Investments has successfully expanded its Asia Climate Strategy to over USD 350m in a third closing, outpacing early private sector capital mobilisation targets and marking a significant step toward its ultimate fundraising goal. With more than half of the total commitments now coming from private sector investors, the strategy underscores its ability to deliver on its promise of unlocking substantial private sector funding for impactful climate solutions. 

Octopus Energy launches fund for clean energy investing

Octopus Energy Group announced the launch of a new fund aimed at allowing pension funds and private wealth investors to invest in the energy transition, with access to more than 50 renewable energy projects in 15 countries, including wind, solar and large-scale battery projects. According to the company, the new fund is one of the first private market funds to be awarded a “Sustainability Focus” label under the new UK Financial Conduct Authority Sustainability Disclosure Requirements (SDR) regulation.

J.P. Morgan’s Campbell Global closes $1.5bn Forest & Climate Fund

J.P. Morgan Asset Management’s timberland investment advisory company Campbell Global announced that it has raised $1.5 billion at the close of its responsible forest management-focused Forest & Climate Solutions Fund II. The fund currently holds three unique timberland properties totalling approximately 212,000 acres, which are 100% managed in accordance with sustainable forestry initiative standards, and are managed for both carbon capture and timber production.

U.S. Green Building Council launches new, more comprehensive LEED rating system for sustainable buildings

The U.S. Green Building Council (USGBC) announced the launch of LEED v5, updating its flagship LEED (Leadership in Energy and Environmental Design) green building system for rating with a sustainability-focused building standard. The new green building standard focuses largely on decarbonisation, which accounts for half of all points for LEED v5 certification, with the system targeting steps to deliver ultra-low-carbon buildings across areas ranging from operations and embodied carbon to refrigerants and transportation emissions.

EU Commission launches nature credit programme to scale private finance

The European Commission launched a 'Roadmap towards Nature Credits', to incentivise private investments into actions that protect and preserve nature, and reward those who undertake these actions and invest in them. The roadmap aims to develop clear standards and reliable certification for these nature-positive actions to make nature credits effective and trustworthy, while avoiding administrative burden when joining such a scheme.

ESMA guides issuers, fund managers on anti-greenwashing expectations

EU markets regulator the European Securities and Markets Authority (ESMA) announced the release of a new thematic note aimed at guiding market participants including issuers and fund managers on its expectations for sustainability-related claims, and avoiding greenwashing risks in investor communications.

Infrastructure Investor - Investor Forum 2025 (9-10 September 2025, St. Pancras Renaissance Hotel, London)

Resilience, stability & digital innovation. Investing in infrastructure 2.0: 300+ of infrastructure’s most influential leaders and 150+ institutional and private investors as they explore the hottest trends, uncover the next big opportunities, and shape the future of the asset class. 

Find out more. 

Oxford Sustainable Private Markets Conference 2025 (15 September 2025, Said Business School, Oxford)

The overarching goal is to reimagine private markets to achieve fair return on invested capital, but also serve the greater public interest as well as the stakeholders of private markets by looking beyond the portfolio companies and examining the net effect and impact on larger public interest considerations.

Find out more. 

Private Debt Investor – New York Forum (16-17 September 2025, Convene 30 Hudson Yards, New York)

In a year where macro volatility continues to test asset classes, private debt is standing strong—with growing allocations, rising interest in asset-based lending, and European capital flowing west. With leading LPs and GPs, themes include to navigate the next chapter of North American private credit, benchmark strategies and uncover the most resilient opportunities.

Find out more.

SuperReturn Global Infrastructure - Unlock the power of infrastructure investing (30 September – 2 October 2025, Hilton Bankside, London)

The latest on digital infrastructure, the impact of geopolitics, the potential of AI, deglobalization, energy transition, secondaries, real estate and real assets infrastructure.

Find out more. 

For those looking to discuss any of the above further, please reach out to our authors:

• Rahel Haque, Vice President, Sustainable Finance Advisory 
• Fazl Ahmad, Associate, Sustainable Finance Advisory
• Javier Patria, Associate, Sustainable Finance Advisory

*For any unfamiliar terms used within this article please refer to our Insights glossary.