Nov 30, 2022 - Economy

Ex-banker crosses the Rubicon to build carbon sector

Illustration of a credit card reader with the word CO2 on it

Illustration: Sarah Grillo/Axios

The emissions offset sector is getting a new player in Rubicon Carbon — flush with $300 million in private equity cash from TPG, and being led into the carbon-credit market by two former top Bank of America executives.

  • The chair of the board is Anne Finucane, BofA’s former vice chair, who has long experience with socially responsible investing.
  • The CEO is Tom Montag, who retired last year as the bank’s chief operating officer.

Why it matters: As the private sector moves to tackle climate change, major companies are looking to voluntary credits to help offset their carbon footprints.

  • Finucane has been an advocate for sustainable finance through her career, including working with the UN and World Bank.

Zoom out: The Wall Street Journal notes that the development of the carbon credit sector — and by extension, efforts to curb climate change — is increasingly reliant on private capital, especially with governments falling short on their climate commitments.

The bottom line: TPG’s Rubicon investment, and the firm being led by someone with Finucane’s financial and environmental cachet, is a sign of how the finance and environmental sectors are becoming increasingly intertwined.

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