Key Takeaways
- • TPG closed Rise Climate II and the Global South Initiative at a combined $10.4 billion in aggregate commitments across the two funds and related vehicles, according to the firm's third-quarter 2026 earnings call.
- • The Global South Initiative reached its $2.5 billion target at final close, with an initial $500 million commitment from UAE-backed ALTÉRRA.
- • Investors new to TPG supplied 31% of total commitments, opening relationships that could extend to the firm's other private equity raises.
- • Rise Climate II is 44% larger than the $7.3 billion inaugural Rise Climate fund that closed in 2022, per CEO Jon Winkelried.
Summary
TPG, the global alternative asset manager, has held a final close for Rise Climate II and its Global South Initiative, drawing $10.4 billion in aggregate commitments across the two strategies and related vehicles. CEO Jon Winkelried disclosed the close on the firm's third-quarter 2026 earnings call.
The Global South Initiative, launched at the COP28 climate conference in December 2023, seeks long-term private equity capital for climate solutions in Global South emerging markets. Its initial commitments included $500 million from ALTÉRRA, a UAE-backed climate investment platform, plus capital from Rise Climate II. At final close, the initiative reached its $2.5 billion target.
Rise Climate invests from growth equity to value-added infrastructure across three themes: clean electrons, such as renewables and grids; clean molecules and materials, such as sustainable fuels; and negative emissions, including carbon removal. TPG closed its inaugural Rise Climate fund in 2022 at $7.3 billion and launched Rise Climate II in 2023. Winkelried described the outcome as a 44% increase over the inaugural fund. TPG did not disclose a separate target for Rise Climate II.
Investors new to TPG supplied 31% of commitments, though TPG did not name any investors beyond ALTÉRRA. Winkelried attributed client demand to rising power demand, the reindustrialization of major economies, and the reshaping of global supply chains. The close came as TPG raised more than $15 billion in the third quarter, bringing its year-to-date total to nearly $42 billion, of which private equity accounted for $8.5 billion. Gary Stein, Head of Investor Relations, Axel André, Chief Financial Officer, Jim Coulter, Executive Chairman and Co-Founder, and Jack Weingart, CEO of TPG Global Wealth Solutions, participated in the call.
The Global South Initiative, launched at the COP28 climate conference in December 2023, seeks long-term private equity capital for climate solutions in Global South emerging markets. Its initial commitments included $500 million from ALTÉRRA, a UAE-backed climate investment platform, plus capital from Rise Climate II. At final close, the initiative reached its $2.5 billion target.
Rise Climate invests from growth equity to value-added infrastructure across three themes: clean electrons, such as renewables and grids; clean molecules and materials, such as sustainable fuels; and negative emissions, including carbon removal. TPG closed its inaugural Rise Climate fund in 2022 at $7.3 billion and launched Rise Climate II in 2023. Winkelried described the outcome as a 44% increase over the inaugural fund. TPG did not disclose a separate target for Rise Climate II.
Investors new to TPG supplied 31% of commitments, though TPG did not name any investors beyond ALTÉRRA. Winkelried attributed client demand to rising power demand, the reindustrialization of major economies, and the reshaping of global supply chains. The close came as TPG raised more than $15 billion in the third quarter, bringing its year-to-date total to nearly $42 billion, of which private equity accounted for $8.5 billion. Gary Stein, Head of Investor Relations, Axel André, Chief Financial Officer, Jim Coulter, Executive Chairman and Co-Founder, and Jack Weingart, CEO of TPG Global Wealth Solutions, participated in the call.
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