Emerald Technology Ventures secures €100 million for a water innovation fund.

      Temasek and the Grundfos Foundation have invested in the fund, which has recently surpassed its latest goal, as part of a broader initiative to direct institutional capital into water technology innovations. Water scarcity is not a problem for the future; it is a current issue that is already affecting agriculture, industry, and urban planning across several continents. Historically, the venture capital infrastructure needed to fund companies tackling this issue has been lacking. Emerald Technology Ventures, a Swiss firm with two decades of experience in this sector, has been working to change that.

      This week, the Zurich-based firm announced that its Global Water Fund II has reached €100 million, following the participation of two key investors: Temasek, Singapore’s state investment company, which was already a primary supporter of Emerald’s first water fund, and the Grundfos Foundation, which owns Grundfos, the largest pump manufacturer in the world, based in Denmark. Other previous investors in the fund include Veralto Corporation, Ecolab, SKion Water, and Oxy Technology Ventures.

      The fund initially closed at €60 million in late 2025, and the increase to €100 million represents two-thirds of a stated final target, although Emerald has not revealed a cap or timeline for the complete closure.

      The growing attraction of institutional capital to water technology is noteworthy. Water technology has typically been viewed as an unremarkable area within the venture landscape; it is essential yet lacks appeal, with lengthy development cycles and complex regulations that discourage fast-moving capital drawn to AI and consumer software. However, this perception is changing due to a combination of urgent physical needs and industrial demand. The companies supporting Emerald’s fund, including Ecolab, Grundfos, and Veralto, are not philanthropists; they are industrial stakeholders whose businesses rely on the availability and quality of water, providing them with economic reasons to advance the technology.

      Temasek’s re-engagement with the fund is particularly significant. Singapore has prioritized water security for decades, importing a considerable share of its water from Malaysia and making substantial investments in desalination and recycling infrastructure. Therefore, an investment through Temasek in a global water technology fund aligns with this strategic focus.

      Emerald was founded in 2000 and manages over €1 billion in assets from its offices in Zurich, Toronto, and Singapore. The firm invests in startups that address climate change and sustainability, but water has increasingly become a key area of focus. Although the specific portfolio companies of Global Water Fund II have not been detailed, the firm’s investment thesis revolves around innovations in water treatment, efficiency, and monitoring—fields where there remains a significant disparity between what is technologically feasible and what is commercially available.

      The overarching message of the fund’s progress may be as important as its specific portfolio: institutional capital is starting to view water technology as an infrastructure investment rather than a philanthropic effort. However, whether this transition is occurring quickly enough to address global water stress remains uncertain, and it is not a question that a €100 million fund, regardless of how effectively it is utilized, can resolve on its own.