Washington, D.C., January 8, 2008 -- IFC, a member of the World Bank Group, announced today it will make its first investment in a third-party environment-focused private equity fund to help benefit the environment and combat climate change. IFC's investment of up to €15 million will help the fund, which is managed by Aloe Private Equity, pursue its strategy to invest in companies in Asia's clean energy and environment sectors.

IFC's funding will be used to invest in companies primarily in India and, when possible, in China, with a focus on clean and renewable energy, waste recycling, emissions controls, and eco-processes. Through its involvement in this fund, IFC will provide support to smaller businesses in the clean energy and environment sectors that are unlikely to receive funding from mainstream private equity groups.

"We welcome IFC's investment and, more importantly, its strong support of Aloe Private Equity's business model and social and environmental focus. IFC, with its unique expertise in the clean energy and environment sectors, will be a valuable partner in pursuing our strategy to expand in Asia and will provide tremendous benefits for existing and future portfolio companies," said Vivek Tandon, General Partner at Aloe Private Equity.

Jean-Pascal Tranié, General Partner at Aloe Private Equity, said, "Through this environment- and sustainability-focused fund we aim to offer economic, environmental, and social returns to our investors. We look forward to working with IFC to repeat the success of our previous funds and further demonstrate the commercial viability of the clean energy and environment sectors."

Haydee Celaya, IFC's Director of Funds, said, "IFC's investment in Aloe Private Equity's environment fund is in line with our strategy to support funds that are investing in technologies to combat climate change. Aloe Private Equity's innovative investment strategy will help address some of the major challenges and opportunities for sustainable economic development in Asia's emerging markets."

Aloe Private Equity manages a number of environment funds. It recently raised over €110 million for the Aloe Environment Fund 2, which will invest in companies in Asia and Europe. The fund in which IFC will participate will co-invest alongside Aloe 2 but will support companies primarily in India and China. Swedfund, a risk capital company owned by the Swedish government, and Proparco, the private sector financing arm of the French Development Agency, will invest €8 million and €5 million, respectively, in the new fund alongside IFC.

Through its first environment fund, Aloe Private Equity made investments in Greenko, an Indian biomass company that was recently successfully floated on the AIM London-based exchange. Other companies in which the fund invested are focusing on coal bed methane recovery; energy efficiency; and the recycling of materials such as batteries, plastic, steel dust, and fly ash.