• Blue Earth Capital secures over $100 million first close
• Impact secondaries strategy targets emerging markets, including Africa and India
• EU-backed first-loss tranche aims to attract private capital

Swiss impact investor Blue Earth Capital said on Thursday it had reached a first close of its new impact secondaries strategy, with more than $100 million committed by European and U.S. institutional investors.

The strategy will invest in emerging markets, including Africa and India, by buying stakes from existing investors in mature funds and companies, offering an exit route in a market that remains illiquid. Blue Earth Capital said the approach is designed to recycle capital into new impact projects and attract new institutional investors.

Backed by investors including Proparco, the Ursimone Wietlisbach Foundation and German investor Stella, the strategy will target priority sectors such as climate action, the circular economy, financial inclusion, healthcare and education. It will invest across both developed and emerging markets, with a focus on regions where long-term capital is most needed.

To make emerging-market investments more attractive, part of the fund will benefit from a risk-mitigation mechanism. Proparco is providing a first-loss tranche backed by the European Union, which is intended to improve the fund’s risk-return profile and mobilize more private capital in higher-risk markets.

“We see this strategy as deeply catalytic: it demonstrates how targeted secondary investments can mobilize new pools of capital, expand access to mature impact opportunities, and strengthen the overall market infrastructure for impact investing,” said Urs Wietlisbach, co-founder of Blue Earth Capital.

Secondary transactions remain marginal in emerging markets, despite rising financing needs for the climate transition, access to essential services and financial inclusion.

SG