Partner Interview: Malin

April 30, 2024

Why did you launch an Article 9 fund?

Launching our Article 9 fund is the culmination of my long-term interest in climate action and VC experience. I have been interested in fighting climate change long before it was mainstream and pursued my interests by earning a Bachelor and Master of Science in Energy and Environmental Engineering. However, I had to put my dreams of a career in the climate space on hold after graduating because there simply weren’t enough opportunities out there.

Instead, I earned my MBA and found my home in SEB Merchant Banking’s venture unit. There we were investing in life sciences, hard tech and B2B — diverse areas of interest that appealed to my skills as an engineer and an investor.

My calling toward climate tech investment came when I was setting up ABB Electrification’s venture division as Head of Ventures. While investing in startups and scaleups that promoted electrification, I realized I wanted to continue working with climate tech, but from the fund perspective.

How do your skills add to the rest of the team?

I’ve been in this industry for 19 years now. I’ve worked across multiple fund formats and invested in a range of tech companies. I bring a deep understanding of the deal-making process to the team. This has given me broad investment experience, and specialist skills in understanding board work and how to assess and grow companies.

Within the team, my prime focus is leveraging my experience as a board member and investor and my network to support deal sourcing, deal execution and portfolio handling.

Together, we have a strong team dynamic. I like the fact that we are two women and two men. I’m used to being the only woman in a room. Inevitably, the thought has occurred to me at times that I might be in some positions to fill a quota. At Climentum Capital, I know I’m valued purely for my skills.

How do you decide who to invest in?

The climate tech hard tech space is unforgiving. Hard tech companies are inevitably going to face ups and downs as the market changes, so it’s important for each member of the Climentum Capital team to have an underlying foundation of interest and understanding of the markets our portfolio companies exist in. Investing in the tech that our hearts really beat for carries us through uncertain times.

I am also discerning when it comes to the founding teams I invest in. Leading a hard tech company involves complex sales and production processes, high CAPEX needs and difficult financing structures. In this industry, founding teams won’t survive on ambitions alone. Even founders with the most innovative ideas will lose the race if they fail on the business side. That’s why I only invest in founding teams with broad industry experience and seniority.

Which founder has inspired you recently?

Qvantum, which decarbonizes cities with its heat pump technology, is an example of a company that will go all the way because of a reliable founding team to back up its innovative solution. Qvantum’s CEO, Fredrik Rosenqvist, comes from a VC background, meaning he understands the investment world. Moreover, his experience in the energy industry means he has the relevant network to attract skilled team members who tick all the boxes regarding safety, bill of materials and factory assembly.

We work well together because we supplement their strong business foundations with our financial background. Our international network connects them with relevant co-investors and potential partners. We also help them to construct funding rounds and lead negotiations, and supply them with insights about international markets as they expand across Europe.

Why do you invest in hard tech?

To abate enough CO2 to significantly limit climate change, we can’t rely on software solutions. We need to install complex physical solutions in the real world — addressing an atom problem with atom solutions.

In Europe the climate tech industry has been too software focussed. But the glow around software is beginning to fade as we realize that by investing so heavily in software and outsourcing hard tech production, Europe has lost control of production to other geographies. If we don’t interfere, Europe’s innovative climate tech industry will decline, triggering the loss of economic opportunities and important climate solutions.

To reignite Europe’s climate tech spark, we need to nearshore production. We need to build factories and large-scale infrastructure like nuclear reactors, and invest in knowledge production and engineering. To achieve this, we need investors, corporates and politicians to invest in the hard tech scene.