Mirroring EU Trend, Wheb Ventures To Raise Big Greentech Fund

British VC firm Wheb Ventures is raising what will become the EU’s largest dedicated greentech fund. The fund has already raised £57 million from some of the UK’s wealthiest investors, including Rolls-Royce chairman Simon Roberston and Lord Jacob Rothschild. Wheb plans to pick up another £100 million from institutional investors and sovereign wealth funds as the firm seeks to tweak its investment profile. Launched in 2005 with an initial fund of £24 million, Wheb Ventures has invested in companies like fluXXion and Exosect that focus on water filtration, metals recycling, environmentally benign pesticides, and energy efficiency. With 3i out of the early stage game, Wheb can now claim the mantle of Europe’s leading greentech VC.

Despite a dismal VC environment in Europe this year, energy and greentech fundings have been on the rise over there. While Wheb’s past plays have leaned toward the enviro-tech side of the industry, the building up of new markets in areas where Europeans have traditionally been strong may play a role in shaping their new investment portfolio. AMI and smart grid technologies are becoming big business in the U.S., though companies like Switzerland’s Landis + Gyr have played a significant role in developing this market. Europe is also strong in PV technology and engineering and is a global leader in ocean and wind power technology. However, to really take advantage of Europe’s engineering strengths, Wheb needs to follow the path of American VCs into university labs. Whether the traditionally guarded EU universities will let them in is another story. Ben Goldmsith, a Wheb partner, has said the firm is “aiming for a portfolio balanced between early stage venture and businesses at a more advanced stage of growth.”

While many VC firms maintain executives-in-residence to help guide new startups, or even to install as CEOs, Wheb Ventures has an entirely different card up its sleeves. The firm’s sister company is Ruston WHEB, a leading executive search firm in the greentech sector. With openings at “Fast Growing Clean Technology Company” and “CHP Technology Company”, its not inconceivable that Wheb Ventures sources a lot of its placement deals in house. But hey, the devil you know…