Brazil's Mombak lands first close on $150M Amazon reforestation fund, adds Salesforce
What's the deal? Brazilian carbon removal startup Mombak has secured the first close of its second reforestation fund, which aims to raise $150 million to finance restoration projects in the Brazilian Amazon. It also signed a new multiyear carbon credit purchase agreement with Salesforce.
The details: The Amazon Reforestation Fund II will have access to a 200 million reais ($38.88 million) credit line from Brazil's Climate FundDealroom has a profile for this one. Try Dealroom →, operated by state development bank BNDESDealroom has a profile for this one. Try Dealroom →. Mombak's first fund raised $120 million from investors including an AXA fundDealroom has a profile for this one. Try Dealroom →, CPP Investments, and Bain CapitalDealroom has a profile for this one. Try Dealroom →, financing projects on 15 Amazon farms where the company planted nearly 15 million native trees.
Why now? Chief executive officer Gabriel Silva said the firm launched the fund after proving a market exists. "We are only raising this second fund because we proved over the last five years that there is a business, there is an industry and there is a market for this product," he told Reuters.
What's the endgame? Salesforce joins a buyer roster that already includes GoogleDealroom has a profile for this one. Try Dealroom →, Microsoft, and McLaren RacingDealroom has a profile for this one. Try Dealroom →. The deal follows Mombak's first issuance of reforestation carbon removal credits earlier this year; it expects a second, larger issuance of roughly 80,000 metric tons by the end of 2026.
New buyers emerging: While Big Tech built the market for high-quality removals, Mombak and BNDESDealroom has a profile for this one. Try Dealroom → expect demand to broaden. Silva said productivity gains and improved techniques are lowering costs, making credits accessible to more buyers. "Over time, you can expect announcements involving companies that are not Big Techs," he said.
The signal: Big Tech firms became major carbon removal buyers as they addressed emissions from rapid AI infrastructure growth. Now BNDES socio-environmental director Tereza Campello says technology firms are reassessing climate targets as data center costs become clearer, while interest from oil, mining, and steelmaking accelerates. "We have been approached by sectors that previously did not have as much appetite for carbon credits," she said.
Read more: economictimes.indiatimes.com
Image credit: GlacierNPS
