Nazca launches its Small Cap II fund and strengthens its commitment to sustainability with an investment in Global Factor, a leader in decarbonisation services

Nazca launches its Small Cap II fund and strengthens its commitment to sustainability with an investment in Global Factor, a leader in decarbonisation services

  • Founded in 2004 and based in Bilbao, Global Factor is a leading company in the provision of sustainability consultancy services, specialising in environment, climate change and energy, as well as intermediation in the carbon and environmental markets.
  • Nazca’s entry seeks to drive an ambitious growth plan that includes the launch of new business lines and accelerate the international expansion already initiated by Global Factor.
  • Is the first investment of Nazca’s new €220 million Nazca Small Cap II fund, in which the company successfully closed for the first time in December.
  • This investment confirms Nazca’s commitment to sustainability, a pioneer in ESG where it has developed a strategy since 2015. It has also obtained the highest rating on the United Nations Principles for Responsible Investment platform.

Madrid, 25 April 2024. Nazca Capital, a leading private equity firm specialized in unlisted Spanish SMEs, has acquired, through its new Nazca Small Cap II fund, a minority stake in Global Factor, a leading company in the areas of sustainability and decarbonisation related services.

Global Factor has a long and successful track record in advising on environmental or sustainability, with a value approach based on offering global solutions for climate change and energy, with two distinct but highly complementary areas (i) sustainability consulting with a focus on decarbonisation; and (ii) participation in markets related to sustainability (emission rights, guarantees of origin, energy saving and efficiency certificates…). The group focuses on both the private and public sector, with a recurring and diversified client base.

Global Factor closed 2023 with revenues of €14 million, with a strong international presence (c. 50% of sales) and annual growth of over 40% in recent years, thanks to its unique positioning in a growing sector such as sustainability.

The current partners, with more than 20 years of experience in this sector, in which they were pioneers, will continue to lead the project.

Nazca will bring to Global Factor its experience in growth projects, both nationally and internationally, and organically or inorganically. To this end, Nazca will collaborate in the incorporation of capabilities and reinforcement of the organisation, with the aim of developing new business lines that strengthen Global Factor’s positioning as a one-stop-shop in the field of environmental services for companies and governments, as well as accelerating its growth plan with acquisitions at national and international level.

This is the first investment of Nazca’s new Small Cap II fund, with a target size of €220 million, in which the company made a successful first close in December on the back of the strong performance of the Small Cap I fund.

This investment is further confirmation of the relevance of sustainability and ESG in Nazca’s strategy. Nazca has recently been recognised as a leading ESG fund manager in the private equity sector, obtaining the highest possible rating for Private Equity in the United Nations “Principles for Responsible Investment” (PRI) platform.

Kepa Solaun, founder and CEO of Global Factor: “We are convinced that Nazca is the right partner to drive this new stage of Global Factor, maintaining our culture and values. Their knowledge and experience in ambitious plans in growth sectors will allow us to continue to grow, develop new lines of business and consolidate internationally, achieving an ambitious growth plan both organically and inorganically”.

Celia Pérez-Beato and Ramón Garnica, Partners at Nazca: “Global Factor fits perfectly with our investment strategy, due to its pioneering character, leadership position in a high-growth niche, top-level management team and great reputation in the sector, as well as our commitment to sustainability and recognition as leaders in the ESG area”.

KPMG, Pérez-Llorca, Jhasa and Holtara have advised Nazca on this deal, while Clearwater and Pinsent Masons have advised Global Factor. In addition, Muzinich will provide financing for the transaction to support the growth process.

About Nazca

Nazca is a private equity fund management company specialising in the Spanish low-middle market, a segment in which it leads both in terms of the volume of transactions carried out and the returns obtained on its investments. Since 2001, Nazca has completed 101 transactions and currently has 16 companies in its portfolio. www.nazca.es

About Global Factor

Global Factor is an international group offering specialised services in energy, climate change and sustainability. Since 2004, it has developed more than 3,000 projects and participated in the transaction of more than €1.3 billion in environmental markets. https://www.globalfactor.com/