The fund-raising could be bigger due to oversubscription amid what the company sees as a commodity upcycle for some metals, it said on Sunday January 10. But Appian decided to leave any capital in addition to what it intended to raise for a potential third fund.
“This funding is an indicator of where we are in a [commodity] cycle,” Appian founder and chief executive officer Michael Scherb told Fastmarkets.
“The Covid-19 pandemic made 2020 a rollercoaster in terms of bullish and bearish views for metals. But it highlighted the need for electrification, decarbonization, healthcare, wealth creation and distributions… And these trends well benefit metals and mining,” he said.
The year ended in a rally for most metals in which Appian has investments, such as copper and nickel. Scherb believes that there could be a supply shortage of materials needed...