British banking group HSBC has deepened its green push by backing AI-based sustainability data and technology provider MioTech in an additional funding round to its Series B.
Financial terms of the deal were not shared.
The bank made the investment through its corporate venture capital arm HSBC Strategic Innovation Investments team, which picks minority stakes in early stage technology firms.
This builds on a collaboration between HSBC Global Asset Management and MioTech.
HSBC Global Asset Management global head of ESG Research Xavier Desmadryl said: “This investment underlines our commitment to ESG and Asia and we look forward to working alongside MioTech to build on our capabilities in this space and extend these offerings to our client base.”
MioTech serves financial institutions, corporations and governments, enabling them to address the sustainability, climate change, and social responsibility challenges leveraging AI. It has a presence in Hong Kong, Shanghai, Beijing, as well as Singapore.
Last year, the firm brought its ESG data coverage to over a million public and private companies in the Greater China market.
Its datasets cover alternative sources to capture ESG performances in real time. Plans are on to roll out more of these datasets targeted at Asian and European markets.
The firm’s other backers include ZhenFund, Horizons Ventures, Moody’s, and TOM Group.
MioTech co-founder and CEO Jason Tu said: “With the new round of financing, MioTech looks to invest more into developing sustainability data and technology, and will further expand its product offerings and geographic coverage.”
Notably, last October, HSBC said that is looking to achieve a net zero target by 2050 or sooner, saying that it will focus on financing and investment that supports the low carbon transition.
The bank pledged $750bn-$1trn of support for green financing to help with this transition.