BBVA and KKR Forge Strategic Partnership to Accelerate Climate Investments

BBVA, a leading Spanish bank, and KKR, a global investment firm, announced a strategic partnership focused on accelerating investments in climate-related projects and infrastructure. The announcement, made during New York Climate Week, highlights the increasing focus of major financial institutions on supporting the transition to a low-carbon economy.

As part of the partnership, BBVA will invest $200 million in KKR’s Global Climate Strategy, a dedicated fund focused on investments that contribute to mitigating climate change and advancing the transition to renewable energy. The initiative will also explore opportunities for joint investments in climate-related infrastructure projects, leveraging BBVA’s extensive financing capabilities and KKR’s deep investment expertise.

“The coming years will witness a surge in demand for new low-carbon infrastructure,” said Javier Rodriguez Soler, BBVA’s global head of sustainability and corporate & investment banking. “This partnership with KKR will be instrumental in our efforts to become a leader in sustainable finance, providing clients with the expertise and resources needed to navigate this crucial transition.”

The partnership aligns with BBVA’s strategic priority of embedding sustainability into its core business activities. The bank has established a specialized global financing unit dedicated to clean technology innovation, with offices in major financial hubs worldwide.

KKR has already made significant investments through its climate strategy, backing companies such as Zenobe, a UK-based provider of transport electrification and battery storage solutions, and Avantus, a U.S. developer of utility-scale solar and solar-plus-storage projects.

Emmanuel Lagarrigue, co-head of KKR’s Global Climate Strategy, emphasized the scale of the opportunity presented by the global transition to net-zero emissions. “This transition represents one of the most significant investment opportunities of our time and requires active participation from all corners of the financial sector,” he said.

Key Takeaways:

• BBVA and KKR have formed a strategic partnership focused on climate-related investments.
• The partnership will target investments in renewable energy, clean technology, and climate infrastructure.
• BBVA will invest $200 million in KKR’s Global Climate Strategy.
• The collaboration leverages BBVA’s financing capabilities and KKR’s investment expertise.
• The partnership reflects the growing commitment of financial institutions to support the transition to a low-carbon economy.

This alliance between BBVA and KKR demonstrates the increasing importance of collaboration between banks and investment firms in driving climate action. As the world seeks to accelerate the transition to a more sustainable future, strategic partnerships like this one will play a crucial role in mobilizing capital and deploying it towards innovative solutions that address the challenges of climate change.