Venture capital firm Cathay launches $1 billion fund to invest in sustainable tech

(Reuters) - Cathay Innovation, a global venture capital group backed by TotalEnergies, has launched a 1 billion euro ($1 billion) fund to invest in technology start-ups with an eye on sustainability, it said on Tuesday.

Cathay Innovation's third venture fund, backed by multinationals including French drugmaker Sanofi, will focus on sectors such as artificial intelligence, digital health, new mobility and financial technology, it said.

"We believe the time is now to accelerate digital transformation over the next ten years as innovation represents the biggest opportunity to take on some of the world's largest challenges," Denis Barrier, the group's co-founder, said in a statement.

Cathay Innovation, which has invested the Chime banking app and delivery service Glovo, currently manages assets worth around 2 billion euros.

($1 = 0.9985 euros)

(Reporting by Elitsa Gadeva and Sarah Morland in Gdansk; editing by Milla Nissi)