Key Takeaways:
- Successful Fundraising: Aqua Capital’s Ag & Food PE Fund III closes with $450 million, surpassing the initial $400 million target.
- Investment Strategy: The fund will continue Aqua Capital’s approach to middle-market investments in the Ag and Food sectors, focusing on value creation and operational enhancements.
- Sector Transformation: Investments aim at companies leading the transformation in agribusiness and food value chains across the Americas, with a particular emphasis on sustainable practices and regenerative agriculture.
- Portfolio Development: Already, nearly half of Fund III’s capital is allocated across five platforms in Latin America and the US, supporting sustainable agriculture inputs, Ag retailing, and Ag-Tech/Services.
- Diverse Investor Base: The fund attracted a global mix of institutional investors, including asset managers and sovereign wealth funds, with a strong return of previous partners and a notable addition of new investors.
Aqua Capital’s Ag & Food PE Fund III Exceeds Expectations
Aqua Capital, a private equity firm renowned for its investments in sustainable and innovative companies within the Agriculture and Food sectors, proudly announced the final closing of its Ag & Food Private Equity Fund III (“Fund III”). With a remarkable $450 million in committed capital, the fund has exceeded its initial target by $50 million, underscoring the strong investor confidence in Aqua Capital’s strategic direction and investment prowess.
Focused Investment Strategy
Fund III is set to advance Aqua Capital’s proven investment strategy targeting the middle market in the Ag and Food sectors. The firm aims to partner with management teams to foster value creation through various strategic avenues, including operational improvements, strategic shifts, governance enhancements, and integrating accretive acquisitions. Sebastian Popik, Managing Partner at Aqua Capital, emphasized the transformative shifts within agribusiness and food value chains, highlighting the fund’s commitment to companies at the forefront of these changes across the Americas.
Commitment to Sustainable and Regenerative Agriculture
Aqua Capital is keen on investments supporting regenerative agricultural practices and contributing to carbon reduction, positive shifts in greenhouse gas emissions, and including small to mid-size farmers. With almost half of its capital already committed to five platforms in Latin America and the US, Fund III’s portfolio includes investments in sustainable agriculture inputs, omnichannel agriculture retailing, and Ag-Tech/Services.
Diverse and Global Limited Partner Base
The fund has garnered substantial support from a wide array of institutional investors globally, including asset managers, sovereign wealth funds, endowments, development financial institutions, fund of funds, and family offices. Gustavo Eiben, Partner at Aqua Capital, expressed gratitude for the trust and support from both returning and new limited partners, acknowledging the responsibility to maximize their capital.
Photo by Elisa Stone on Unsplash
