One fund would exclusively back materials science companies in China, for example. The second would be a cleantech fund specifically focused on funding late-stage companies that have had a hard time finding capital in this economic climate (the firm has briefly discussed raising a $400 million growth fund just for the green space, but nothing more has been said); and the last would be geared toward buying up assets from struggling companies that that are now owned by banks, or that have defaulted on loans.
CMEA says this more narrow approach should appeal to companies that are disillusioned with the faltering billion-dollar funds. It last raised financing last April, bringing in $400 million earmarked for startups with a lot of intellectual property at stake. This explains why the firm would be especially interested in acquiring intellectual property assets from companies acquired and shut down by banks.
No further detail has been released on when or even whether these funds might come to fruition. If and when they do, CMEA will be looking for strategic corporate investors to participate as limited partners in lieu of pension funds and university endowments due to the economy.
