Mizuho links with BlackRock-Temasek tie-up Decarbonization Partners

Mizuho Financial Group – whose subsidiary Mizuho Bank is a repeat impact fund investor – has entered a ‘strategic partnership’ with Decarbonization Partners.

Mizuho Financial Group has entered into a “strategic partnership” with Decarbonization Partners, a joint venture between BlackRock and Temasek targeting $1 billion for its first fund.

Mizuho announced the partnership this morning and details about its structure are still unclear. Here is what we know:

  • The partnership “will enable Mizuho to introduce its clients to the global Decarbonization Partners ecosystem, which may create financing and partnership opportunities” for Decarbonization Partners’ portfolio companies, Mizuho said in a statement.
  • Mizuho Bank, a subsidiary of Mizuho Group, has previously made a handful of impact commitments. Some recent examples include: Shinsei Corporate Investment’s second Japan impact fund and Energy & Environment Investment’s fifth impact fund, according to PEI Group’s database.
  • Decarbonization Partners is a series of funds for late-stage venture and early-growth opportunities, which was announced in April 2021. It is “staffed by employees from both firms” as well as “a dedicated team” for investments and portfolio management, according to Temasek’s statement at the time.
  • Temasek and BlackRock jointly committed $600 million to the venture when it was announced.
  • Decarbonization Partners is raising its first fund, which has a target of $1 billion.
  • Previous investments by Decarbonization Partners include carbon offsets company Carbon Direct, alternative leather producer MycoWorks, lithium-silicon battery producer Group14 Technologies and materials company Monolith.