Patrizia and Mitsui & Co., Ltd. have invested in Kaer through the APAC Sustainable Infrastructure Fund (A-SIF) to support the growth of its Cooling as a Service (CaaS) business in Asia.

This investment aims to deploy up to US$350 million for low-carbon cooling solutions in the region.

Kaer provides low-carbon cooling services and operates in Singapore, Malaysia, India, and Indonesia.

The investment will allow the company to enter additional markets, including Thailand and Vietnam.

A-SIF will acquire a minority stake in Kaer and will offer further growth capital to support its expansion while maintaining the existing management structure.

This is A-SIF’s fourth investment, focusing on sustainable infrastructure, following prior commitments in renewable energy and urban mobility.

🔗 Source: Patrizia

🧠 Food for thought

1️⃣ The evolution of cooling: from luxury to critical infrastructure-as-a-service

Kaer’s Cooling-as-a-Service model represents the latest evolution in a century-long journey of air conditioning technology that has transformed from luxury to essential infrastructure.

Air conditioning was considered a luxury until after World War II, but by the 1950s, over one million units were sold annually as it became a standard feature in new homes 1.

The 1970s energy crisis prompted the first efficiency standards for cooling systems, demonstrating how economic pressures drive innovation in this sector, similar to how today’s climate concerns are reshaping cooling business models 1.

Kaer’s business model eliminates capital expenditure barriers for customers while maintaining operational control, allowing buildings to access efficient cooling systems without the substantial upfront investment that historically limited adoption of cutting-edge technology.

2️⃣ Asia’s pivotal role in climate-focused infrastructure investment

PATRIZIA’s investment in Kaer addresses a critical need in the region where sustainable infrastructure deployment is most urgent for global climate goals.

Asia contributes 51% of global carbon emissions and hosts 82% of the world’s coal generation capacity, making it the most important region for climate action investment 2.