February 2, 2023
The Dutch sustainable smartphone company Fairphone has raised 49 million euros in growth capital. In doing so, it can strengthen its brand position and create even more awareness about fairness and sustainability in the electronics industry. The investment comes from an international consortium of impact investors and existing shareholders, including Participatiefonds Duurzaam Economie Noord-Holland (PDENH).
An international consortium of impact investors led by new shareholders Invest-NL, the ABN AMRO Sustainable Impact Fund and existing shareholder Quadia with its Regenero Impact Fund, joined forces with other existing shareholders DALHAP, DOEN Participaties and PDENH to invest €49 million.
Anthony Viellevoije, Investment Director of PDENH:
“We are proud that Fairphone has reached this important milestone, taking the company and its impact to the next level. PDENH invested at the end of 2018 and the company has grown successfully since then: revenues have increased almost sixfold and in parallel the company has reached a profitable status. At the same time, the impact has been enormous, both through savings in emissions and through improvements in working conditions in many supply chains. We are convinced that Fairphone can continue its growth and therefore confidently support this round with a substantial follow-on investment.'
Faster growth, greater impact
This investment will allow Fairphone to accelerate its growth and increase its impact, while continuing to pursue its impact-driven mission for fairer electronics. Furthermore, the investment will be used for the settlement of existing loans and partial exit of current shareholders and more than 1000 crowdfunders who joined in 2018 via Oneplanetcrowd.
The funding will also be used to accelerate the integration of fair and recycled materials across Fairphone's entire product portfolio, for example by expanding its mining value chain programs in Africa and South America and fair wage programs in Asia. In addition, Fairphone will invest in product development and customer service improvement to ensure that users keep their Fairphone in use for longer.
PDENH was founded by the province of North Holland with the aim of stimulating the sustainable economy in North Holland. The fund invests in companies and projects that focus on the energy transition, circular economy and sustainable mobility. The fund has a size of € 85 million and has invested in more than 30 companies and initiatives since its inception. PDENH is managed by KplusV and Startgreen Capital. www.pdenh.nl