Neos Raises $1.72B for 2nd Energy Transition, Critical Infra Fund

Neos Partners, an investment firm focused on energy transition and critical infrastructure, has raised $1.37 billion for its second fund, in addition to a $350 million co-investment vehicle.

Neos Partners II achieved its hard cap and secured capital from a diverse array of institutional investors, such as endowments, foundations, and family offices. The fund will concentrate on North American companies that offer products and services in the energy-intensive industrial sectors, data centers, power grid infrastructure, and renewable energy.

“We are grateful for the strong support from our institutional investors,” stated Neos managing partner Peter Jonna. “We believe this is a very favorable time to invest in our target markets.” Jonna stated that the firm has received significant support from industry insiders, with over 100 founders, executives, and advisors contributing more than $260 million to its funds.

Jonna and Brad Forth, both previously at Oaktree Capital Management’s GFI Energy Group, founded the firm in 2022. The pair are both engineers with extensive experience in energy transition and infrastructure investments.

Neos Partners II follows the firm’s first fund, which raised $830 million and has already invested in seven companies, including BBC Electrical Services, a provider of electrical construction services; FastGrid, an engineering and consulting firm specializing in renewable energy; and transformer manufacturer MGM Transformers.

With this latest closing, San Diego-based Neos Partners now manages $2.7 billion in total capital.

UBS served as financial advisor and exclusive placement agent. Latham & Watkins LLP and Weil, Gotshal & Manges LLP served as legal counsel.