November 5, 2024

Tokyo-based Mizuho Bank has struck a strategic partnership Down Under. The Japanese bank has announced a $20 million investment into Pollination Global Holdings, a specialist climate change advisory and investment firm headquartered in London but with offices around the world, including Australia, receiving a minority stake in return. Mizuho Bank’s capital injection will support Pollination’s investment strategy and decarbonization projects.

With a view to double its assets under management to JPY 148 trillion (US$1 trillion) over the course of the next decade, Mizuho Bank’s investment is a coup for Pollination, buttressed by its sophistication in sustainable finance. Founded in 2019 by Martijn Wilder and Tony O’Sullivan, Pollination specializes in financing the transition to Net Zero and nature positive. In addition to London, the company boasts offices in Sydney, Melbourne, Singapore, Chicago and Washington, D.C.

Through the partnership, the firms will support clients with the implementation of climate and nature transition strategies. This includes a focus on strategy and advisory support, access to relevant investment opportunities and innovative collaborations including fresh approaches to transition and sustainable finance.

Pollination’s Wilder is cited by The Australian Financial Review as saying, “In the transition of large companies away from high emissions into low emissions technologies, generally they [must] borrow money, they need green bonds. What Pollination has been successful at doing and continues to do is to have relationships with key capital providers around the world … people like HSBC, ANZ and now Mizuho.”

In early 2022, Pollination received a $50 million investment from ANZ in exchange for a minority position in the company. At that time, Pollination was reportedly valued at $350 million. In recent months, Pollination named Softbank Investment Advisers alum Kalika Jayasekera as its new chief operating officer in Australia.

Pollination is reportedly keen to form partnerships in Japan given the focus of Asian governments on the fallout from climate change and their desire to hasten the decarbonization of the economy. Through its partnerships with HSBC and ANZ, Pollination has reportedly raised over $1 billion through a joint venture dubbed Climate Asset Management.

“This investment by Mizuho accelerates our ability to engage across the Asia region. Large global Japanese industrials and utilities are very active not just in Australia, but around the world,” Mr. Wilder also told Financial Review.

Deal team image courtesy of Pollination on LinkedIn

Mizuho Financial Group Chief Sustainability Officer Yasuhiko Ushikubo stated, “Our clients around the world are encountering a broad spectrum of sustainability-related requirements against the backdrop of accelerating change. Supporting them with proven expertise and strategies, applied with a global perspective, is essential. Through this alliance and close partnership with Pollination, we will help our clients develop and implement tactics to navigate these nuanced challenges while helping contribute to
resolving climate change issues and realizing a nature-positive future in Asia and the rest of the world.

Pollination Global Holdings Limited Founder & Executive Chair Tony O’Sullivan noted, “Given the critical role of finance in unlocking climate change solutions, particularly across Asia, we are delighted to have established such a significant partnership.”

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