Rennie Partners launches capital raising practice with net zero focus

05 July 2022 Consultancy.com.au 2 min. read
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Rennie Partners has launched a new business line that provides capital raising support to net zero and sustainability-oriented technology and services companies.

The launch builds on the firm’s growing track record in the capital raising space, and comes at a time of mounting interest from investors of all sizes – from venture capitalists and private equity firms to institutional investors – for technology-backed net zero ‘disruptors’.

“We have worked with several boards and investors over the last twelve months in various capital raises and divestments, and are entrenching ourselves firmly as the meeting point between net-zero or sustainability capital and companies seeking capital to expand,” said Matt Rennie, co-managing partner of Rennie Partners.

Simone Rennie & Matt Rennie - Rennie Partners

According to Rennie, the boutique consulting firm (currently 30-strong) has “good relationships with more than 200 institutions, funds and high net worth investors from around the world, all of whom have mandates to invest at various stages.”

The new capital raising offering will serve companies seeking funding anywhere from $1 million to $30 million. “Before presenting a company to investors, our team focusses closely on key success factors including value pool analysis, market sizing and scoping, competitive assessment and scalability,” said Rennie.

“This is essential,” he continued, “because companies get one go at the market. Unless a coherent narrative can be articulated which helps investors quickly see the opportunity, the runway to market, the revenue potential and the uniqueness of the product or service, it will be unlikely to attract serious attention. This is where we spend our time initially.”

The focus is on tech-oriented companies, who are expected to remain a bright spot in the investment space despite the outlook of a slowing venture capital and private equity market. “Most net zero models make clear that without new technology, countries and industry will simply not hit their abatement targets,” said Rennie.

According to modelling by McKinsey & Company, the world would need to invest around $275 trillion in cumulative investments over 30 years to achieve one of the most known net zero transition targets (NGFS). Technology is considered as one of the key accelerators and facilitators of the decarbonisation journey.

In Australia, Rennie sees most potential in the energy, mining, agriculture, water and waste sectors as industry and funds look actively for ways to solve complex problems, and to scale these solutions globally.

Alongside its fresh capital raising offering, Rennie Partners provides a range of transaction, reform, ESG and risk & compliance services to companies, funds, investors and governments. Rennie founded the firm in the summer of 2021 with co-managing partner (and his wife) Simone Rennie. Both previously held senior roles at Big Four firm EY.