Singapore-based Cooling-as-a-Service (CaaS) specialist Kaer has secured an investment commitment from German investment manager PATRIZIA and Japanese trading company Mitsui & Co, according to an announcement.
The investment, made through APAC Sustainable Infrastructure Fund (A-SIF), will support Kaer’s expansion in Singapore, Malaysia, India, and Indonesia, as well as facilitate entry into new markets including Thailand and Vietnam.
PATRIZIA and Mitsui, through A-SIF, target up to $350 million in capital deployment to accelerate the region’s transition to low-carbon cooling, per the announcement.
A pioneer in the CaaS sector in Asia, Kaer enables businesses to transition to low-carbon cooling to serve their operations while reducing capital expenditure.
The funding comes as Kaer reported 30% growth in 2024, with a further 50% growth anticipated from existing contracts set to commence in 2025.
By 2028, Kaer aims to deliver sustainable cooling to 100 million square feet of commercial real estate, potentially cutting approximately 120 million kg of carbon emissions across Asian cities.
“As demand for sustainable cooling grows across Asia, we remain committed to pioneering the transition towards a more energy-efficient and decarbonised built environment,” Kaer CEO Justin Taylor said.
Kaer will retain its existing management structure, with A-SIF initially holding a minority stake while committing additional capital to drive future growth and technological advancements.
The investment represents ASIF’s fourth commitment, aligning with PATRIZIA’s strategy of sustainable infrastructure investment, particularly focusing on technology-driven solutions to enhance real estate infrastructure.
In February, PATRIZIA and Mitsui & Co completed a $250-million investment in Parkwise, a new parking facilities company in the Philippines.
The investment in Parkwise, done throug A-SIF, underscores PATRIZIA’s emphasis on a convergence of real estate and infrastructure—known as “RE-Infra”—which is among the firm’s key growth areas.
PATRIZIA has a history of investing in parking infrastructure and mobility solutions globally, and it continues to see potential in building integrated, technology-driven parking services.
Liam Tierney, senior director for infrastructure at PATRIZIA, earlier told DealStreetAsia that the APAC region is expected to contribute to 60% of global growth, have an additional 1.5 billion people enter the middle class, and account for 60% of global urbanisation growth by 2030, presenting A-SIF with significant investment opportunities.
