IKEA to announce first clean tech investment by year's end

Fresh from announcing the launch of its new cleantech investment arm IKEA GreenTech, the Swedish retail giant has revealed it is already in talks with a number of firms and will aim to unveil its first deal before the end of the year.

Speaking to BusinessGreen.com, IKEA GreenTech managing director Johan Stenebo revealed that discussions with potential partners have been progressing for months and that the company was hoping to unveil its first investment soon.

He added that with €50m to spend over the next few years, the new investment company was actively inviting cleantech start ups to approach it with ideas and investment propositions. "We definitely want companies with good products or ideas that can be sold at a low price to come to us," he said.

IKEA is particularly interested in working with firms in the fields of energy efficient lighting, domestic solar energy, energy efficient appliances, greener metals and plastics and water conservation, Stenebo explained.

He added that as well as providing firms with funding, IKEA GreenTech would also provide partners with access to IKEA expertise and supply deals with the retailers.

"The aim is for us to make a lot of difference to these companies by actively helping them to develop their products at lower cost," he said. "One key advantage we can offer, is giving them access to the IKEA distribution network and retail channels. Distribution is always essential for start ups trying to scale up and we can offer them access to 270 stores."