ACT Group has announced Three Hills Capital Partners (“THCP”) has taken a strategic minority stake investing over €60 million ($69 million) to finance the firm in its five year growth plan.
ACT was founded in 2009 by Bram Bastiaansen and Jaap Janssen. From inception, ACT has been a global trading house, creating for itself the role of market maker in environmental energy products. As a result, it has helped catalyze the emergence of a market in environmental energy goods bringing speed, dependability, volume and ever keener pricing to the industries that depend upon such products and certificates.
Jaap Janssen, Founder and co-CEO of ACT commented, “As most countries worldwide are committed to reducing their carbon emissions, their governments are opting for market mechanisms rather than subsidy programs to reach their goals. As a result, volumes are going to face exponential growth in the next five years and there is a strategic need for a global market maker to advance clarity, speed and efficiency across new geographic regions.”
Following two phases of rapid growth, the company currently has more than 125 employees internationally, and has grown to nearly €1 billion ($1.15 billion) of annual traded volumes. Headquartered in Amsterdam, with additional offices in New York and Shanghai, ACT is active in over 50 geographies. The firm presently serves over 5,000 active clients, offering a one-stop-shop service for over 40 products. Certain products, including carbon credits, are bespoke “over-the-counter” by nature, and ACT provides a vital service to clients in accessing such product markets and ensuring liquidity.
THCP is partnering with ACT to support the growth plan and allow the wider management team to increase their shareholding in the company. As part of the transaction, an additional nine employees have been promoted, bringing the total partner group to 13. Bastiaansen and Janssen will remain in their current roles as co-CEOs and will retain a majority equity stake as they lead the next phase in the organization’s growth. The company sees near term potential to triple turnover with a commensurate growth in workforce.