Amsterdam-based PureTerra has received an EIF commitment of €30 million for its second water fund.

The European Investment Fund (EIF) has pledged an investment of €30 million to "PureTerra II," the second fund managed by the Amsterdam-based firm PureTerra Ventures. This is supplemented by an additional €10 million from Invest-NL.

PureTerra II invests in early-stage water technologies, with a particular focus on companies transitioning from the pilot phase to industrial-scale application. The scope ranges from the prevention of water pollution and water treatment processes to circular water systems.

PureTerra was founded in 2017. According to the EIF, the firm’s first fund represented the EIF’s inaugural venture capital investment dedicated to the water sector, receiving €30 million in 2022.

A portfolio overview by "The Venture Codex" lists several of the manager’s investments, including Membrion (a manufacturer of ceramic membranes for industrial wastewater), VAPAR (AI-powered inspection of sewer networks), and DIAMIDEX (tests for microbial water contamination).

According to the European Environment Agency, in 2023, an area covering 28% of the EU’s territory, home to 32% of the EU’s population, was affected by seasonal water scarcity.

As climate change progresses, water could become a critical issue. Water scarcity is already a concern in Europe today; therefore, an public funded investment vehicle operating in this space appears highly relevant.