Hugo Boss explained the fund will use its contribution over a period of five years to subsidise several portfolio companies that are in the startup, early growth and potential stages, and are developing innovative sustainability solutions and technologies.
This includes various areas along the entire value and supply chain, such as upcycling of raw materials, preventing microfibre release as well as repair and care solutions.
Hugo Boss pointed out the purpose of this initiative is to subsidise the growth of these companies and further strengthen its commitment to a more sustainable future.
With a total target volume of €100m ($105m), of which approximately 10% will see investments by Hugo Boss, the luxury brand highlighted the sustainable venture capital fund has already attracted interest from notable family offices, asset managers and institutional investors.
Daniel Grieder, chief executive officer of Hugo Boss said that through this new form of investment, Hugo Boss will look for new solutions to target areas such as increasing circularity, using only nature-positive materials, eliminating microplastic pollution, and achieving zero emissions.
Grieder added: "Our CLAIM 5 strategy defines our growth trajectory, but at the same time, it is guided by our commitment to be sustainable throughout. The partnership with Collateral Good perfectly complements our sustainability strategy 'For a bold and better future', which strives for a planet free of waste and pollution."
The luxembourg-based venture capital fund is classified as a "Dark Green Fund" under the EU Sustainable Finance Disclosure Regulation (SFDR Art. 9), and therefore pursues a clear sustainable investment objective.
The fund will operate under the name "Collateral Good Ventures Fashion I SCSp RAIF."
