Jetstream Venture Fund Makes First Private Secondary Investment in Clean Technology

Jetstream Venture Fund has completed its first private secondary transaction, backing clean technology company Carbogenesis through a secondary investment, according to PRNewswire. The deal marks an early milestone for the interval fund, highlighting growing investor interest in secondary opportunities as well as continued capital support for climate-focused businesses.

A First Deal in Secondary Markets Signals Jetstream’s Strategy

Jetstream Venture Fund’s investment in Carbogenesis represents the fund’s first completed private secondary transaction since launch. Rather than providing primary capital directly to the company, the fund acquired existing shares from current stakeholders, offering liquidity to earlier investors or employees. Secondary deals of this kind have become more common as private companies stay private for longer periods.

The transaction reflects Jetstream’s broader strategy as an interval fund, a structure that allows investors periodic liquidity while maintaining exposure to private assets. By entering the secondary market, Jetstream gains access to more mature companies with established operations, potentially reducing some of the risks associated with early-stage investing. This approach also allows the fund to deploy capital more quickly than traditional venture funds that rely solely on primary issuances.

For Carbogenesis, the deal does not necessarily result in new capital entering the business, but it does broaden its investor base and reinforce external confidence in its long-term prospects. Clean technology companies often require sustained investment horizons, making secondary liquidity an increasingly important feature of the ecosystem.

Secondary Markets and Clean Tech Appeal

The use of a secondary transaction underscores the expanding role of private secondary markets within venture capital and growth equity. As IPO timelines lengthen and exit opportunities remain uncertain, secondary deals provide an alternative mechanism for reallocating ownership while keeping companies privately held. Funds like Jetstream are positioning themselves to benefit from this structural shift.

Carbogenesis operates in the clean technology sector, an area that continues to attract investor attention despite broader volatility in venture markets. Companies focused on decarbonization, sustainable materials, and emissions reduction are often viewed as long-term plays tied to regulatory trends and corporate climate commitments. This dynamic can make them attractive candidates for secondary investments, particularly when they have reached a certain level of operational maturity.

From an investor perspective, secondary stakes in clean tech firms may offer a balance between growth potential and downside protection. Buying shares from existing holders can allow entry at valuations that differ from peak primary-market pricing, while still maintaining exposure to sectors expected to benefit from structural tailwinds over time.

Interval Funds and Private Liquidity

Jetstream Venture Fund is structured as an interval fund, a vehicle that blends features of traditional private funds and open-ended investment products. Interval funds typically offer limited redemption windows, providing investors with some liquidity while still investing in illiquid assets such as private equity or venture-backed companies.

This structure has gained traction among managers seeking to broaden access to private markets without fully sacrificing long-term investment horizons. Secondary transactions fit naturally within this model, as they can generate returns without relying on near-term exits like IPOs or acquisitions.

Carbogenesis, meanwhile, operates in a sector where patient capital is often required. Clean technology companies may face long development cycles and regulatory complexity, but they can also benefit from sustained policy support and growing demand for low-carbon solutions.

Jetstream Venture Fund’s first private secondary investment in Carbogenesis highlights two intersecting trends: the rise of secondary markets in private investing and continued interest in clean technology. By using a secondary structure, Jetstream signals a focus on liquidity management and risk-adjusted access to mature private companies. As private markets evolve, transactions like this may become an increasingly important tool for both investors and long-term-focused clean tech businesses.