The UK Innovation Investment Fund has launched the Hermes Environmental Innovation Fund, which has already raised £125m and will continue to seek further funding from investors.

The UK Innovation Investment fund was announced last June by the Prime Minister as part of the Government¿s strategy for Building Britain¿s Future. Hermes Private Equity and the European Investment Fund were confirmed as fund of fund managers for two separate funds of funds.

Backed by £150m investment by the Department for Business, Innovation and Skills, the Department of Energy and Climate Change and the Department of Health, it has already attracted private investment to more than match this amount with the total first closing of £325m.

The Environmental Innovation Fund, managed by Hermes Private Equity, will now start investing in low carbon and clean technology funds and co-investing in companies, providing  venture capital to help these innovative businesses grow. The Hermes Fund will focus on investment opportunities aimed at increasing the efficient use of resources (both renewable and non renewable) at all stages of production and consumption. 

For full details visit: http://nds.coi.gov.uk/clientmicrosite/content/Detail.aspx?ReleaseID=410596&NewsAreaID=2&ClientID=431