Joshua Posamentier and Abe Yokell has spent the last seven years on the LP circuit, tirelessly releasing LPs about the financial and ESG (environmental, social and governance) benefits of investing in climate technology.
“We've had hundreds (I don't even want to confess how many) but hundreds of conversations over the years,” said Yokell, managing partner of Congruent companies, he told TechCrunch+. Some of those conversations ended with the limited partners investing in one of Congruent's funds, but for the most part they didn't. “We are used to being rejected. That's part of our life.”
Well, now the shoe is on the other foot. In raising Congruent's third fund, the difficult part wasn't finding limited partners but figuring out who to turn down. The company originally hoped to raise $200 million, a small step up from its second fund of $175 million. Investors thought it was too modest and instead offered $600 million, a three-fold subscription.
Congruent turned down $350 million of that amount and ultimately raised $250 million, TechCrunch+ reported exclusively in November. “This is really the first time we've seen such an abundance of interest,” Yokell said.
The decision wasn't easy, but the team felt they didn't want to expand too quickly.
