SMI, Bank of America and Eurazeo Launch $40 Million Biodiversity Investment Initiative

The Sustainable Markets Initiative (SMI), Bank of America and global investment firm Eurazeo have announced the Lighthouse Initiative, a dedicated investment allocation designed to finance nature conservation, biodiversity restoration and nature-positive business models. Announced on 2 November 2026, the initiative launched on 23 September 2026 with $40 million in aggregate capital commitments from cornerstone investors Bank of America and Eurazeo.

Managed by Eurazeo through its Future Industries Fund III, the initiative will invest in companies and project development platforms working to address biodiversity loss and environmental degradation. The partnership aims to attract additional private investment into nature-related sectors that have historically received limited commercial financing.

 

$40 Million Investment Initiative Targets Nature-Positive Businesses

 

The Lighthouse Initiative will make minority investments in project development platforms and selected technology-enabled businesses across developed and emerging markets. Its investment structure is designed to support commercially viable nature-positive solutions while creating opportunities for additional institutional investors, development finance institutions and public partners to participate.

Bank of America and Eurazeo are providing the initial investment commitments, with the initiative structured to accommodate further investors. Brian Moynihan, Chair and CEO of Bank of America and Chair of SMI, said, "Companies and investors are seeking opportunities to invest in Nature and biodiversity." The partners expect the initiative to demonstrate how private capital can support the development and commercialisation of businesses delivering measurable environmental benefits.

 

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Four Investment Priorities Cover Restoration, Supply Chains and Finance

 

The initiative will focus on four strategic investment areas. The first covers ecosystem protection and nature regeneration, including regenerative agriculture, sustainable forestry and businesses restoring soil health and biodiversity. The second supports the transition of industries and global supply chains towards nature-positive practices through bio-based materials, biological agricultural inputs, circular processes and solutions that reduce pollution and resource extraction.

The third priority focuses on developing nature finance infrastructure, particularly investment platforms structured around infrastructure-like models that can attract institutional co-investment. The fourth targets technologies that improve the measurement, monitoring, reporting and verification of biodiversity outcomes, including environmental DNA (eDNA) monitoring, digital MRV systems and supply chain traceability tools.

 

Investment Strategy Aligns with Global Biodiversity Targets

 

Each investment is expected to contribute to at least one target under the Kunming-Montreal Global Biodiversity Framework. This includes Target 3, commonly known as 30x30, which calls for the effective conservation and management of at least 30% of terrestrial, inland water, coastal and marine areas by 2030. The initiative also aligns with SMI's Terra Carta, which promotes integrating sustainability into private-sector business and investment decisions.

Eurazeo's Future Industries team will manage investment selection and monitoring using its existing impact assessment framework, supplemented by dedicated biodiversity indicators, including biodiversity footprint assessments. These measures are intended to help evaluate investment outcomes and improve transparency around environmental performance.

 

Explore OneStop ESG Marketplace: Nature & biodiversity

 

Mobilising Private Capital for Biodiversity Restoration

 

The initiative comes as financial institutions seek investment structures that can direct more capital into nature-related businesses. Unlike traditional conservation funding, the Lighthouse Initiative will focus on companies and platforms that combine environmental objectives with commercial business models, potentially creating opportunities to scale nature-positive solutions beyond individual projects.

Matthieu Bonamy, Partner Future Industries at Eurazeo, noted that "biodiversity remains one of the most underfunded investment themes". The initiative's longer-term impact will depend on attracting additional investors, deploying its committed capital and demonstrating measurable biodiversity outcomes. The announcement does not identify initial portfolio companies, completed investments or a timetable for further fundraising.

 

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