Alterra and BBVA launch $1.2bn climate co-investment vehicle

By Global Infrastructure Sherpa · Jan 15, 2026

Investment Renewable Energy announced UAE Jan 15, 2026

USD1200M

Deal Value

Alterra and BBVA are launching a $1.2bn climate co-investment vehicle domiciled in Abu Dhabi Global Market to pursue a diversified global strategy spanning climate-aligned infrastructure, private equity, and private credit. BBVA will commit $250m to the vehicle and act as its strategic limited partner.

Deal Analysis

Alterra and BBVA's launch of a $1.2 billion climate co-investment vehicle signifies a substantial commitment to climate-aligned investments. The vehicle, domiciled in Abu Dhabi Global Market, will pursue a diversified global strategy across infrastructure, private equity, and private credit, indicating a broad approach to climate investment. BBVA's $250 million commitment and role as a strategic limited partner further solidify the partnership and provide a strong foundation for the vehicle's operations. This deal is notable for its size, the involvement of a major financial institution like BBVA, and its global investment mandate. The focus on climate-aligned assets reflects the growing demand for sustainable investments and the increasing recognition of the financial opportunities within the renewable energy sector. Alterra Energy's involvement, while primarily focused on plastic waste conversion, suggests a broader interest in sustainable energy solutions and a potential diversification of their investment portfolio.

Sizeable $1.2 billion climate co-investment vehicle.
Strategic partnership between Alterra and BBVA.
Diversified global investment strategy across infrastructure, private equity, and private credit.
BBVA's $250 million commitment as a strategic limited partner.

Market Context: The renewable energy sector is experiencing rapid growth driven by increasing environmental concerns, government incentives, and technological advancements. Investments in climate-aligned infrastructure are becoming increasingly attractive to institutional investors seeking both financial returns and positive environmental impact. The UAE, with its Abu Dhabi Global Market, is emerging as a key hub for sustainable finance and investment.

Source Intelligence

KEY DETAILS

Alterra is backed by a $30bn commitment from the United Arab Emirates. The UAE has said the platform aims to mobilise up to $250bn of climate-related investment by the end of the decade. "Alterra was launched as one of the world’s largest private climate investment platforms and is backed by a $30bn commitment from the United Arab Emirates." "The UAE has said the platform aims to mobilise up to $250bn of climate-related investment by the end of the decade."

“

Deal Size

Alterra has unveiled plans for a $1.2bn climate co-investment vehicle alongside BBVA

“

Location

The fund will be domiciled in Abu Dhabi Global Market

“

Financials

BBVA will commit $250m to the vehicle and act as its strategic limited partner, Alterra said.

PARTIES MENTIONED IN SOURCE

Alterra developer

"Alterra has unveiled plans for a $1.2bn climate co-investment vehicle alongside BBVA"