Volkswagen is expanding its green strategy by making investments in EIT InnoEnergy, an EU-backed fund to jointly back technology companies in the field of energy transformation.
The automaker said on Wednesday it had entered a strategic partnership with EIT InnoEnergy and is set to become a shareholder in the venture.
The move is similar to other moves by Volkswagen, which in September revealed plans to set up its own 300 million euro ($348 million) venture capital fund to invest in decarbonization projects and start-ups in the field.
“The idea is simple… to use InnoEnergy as an additional way to look for interesting enterprises and support them in scaling up their business models,” said Jens Wiese, Volkswagen’s head of group M&A, investment advisory, and partnerships.
EIT InnoEnergy has already seen investment of 560 million euros ($650 million) and it holds stakes in about 300 groups, including Northvolt, H2 Green Steel, and Vulcan Energy Resources.
Backed by the EU’s European Institute of Innovation and Technology (EIT), EIT InnoEnergy helps to fund start-ups and companies that are active in the energy transition towards decarbonization and away from fossil fuels.
Volkswagen did not reveal the value of the investment or the size of the stake in EIT InnoEnergy as of yet.
