April 5 (Renewables Now) - Direct air capture (DAC) technology developer Climeworks AG is raising CHF 600 million (USD 649m/EUR 592m) of financing in an equity funding round co-led by Partners Group and GIC.

Climeworks has developed a technology to capture carbon dioxide (CO2) directly from the air, which can then either be stored or recycled and used as a raw material. The firm’s modular CO2 collectors can be stacked to build machines of any size that are powered solely by renewable energy or energy-from-waste.

The company launched the world’s largest direct air capture and storage plant in September 2021. The Orca facility is located in Iceland.

Climeworks plans to use the newly-raised funds as part of the next phase of its growth. More specifically, it will seek to scale DAC up to multi-million-tonne capacity and implement large-scale facilities, it said.

Contributions to the funding round also came from Baillie Gifford, Carbon Removal Partners, Global Founders Capital, John Doerr, M&G and Swiss Re, among other new and existing shareholders such as anchor shareholder BigPoint Holding AG.

JP Morgan Securities LLC acted as sole placement agent for Climeworks.

(CHF 1.0 = USD 1.081/EUR 0.986)

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