Key Takeaways
- Chestnut Carbon raises $160 million in Series B funding to expand its afforestation capacity and sequester 100 million tons of carbon over the lifespan of its Sustainable Restoration Project.
- Investment led by Canada Pension Plan Investment Board, with participation from Cloverlay, DBL Partners, and institutional investors.
- Funds will support land acquisitions, technology innovation, and talent expansion to enhance Chestnut’s nature-based carbon removal solutions.
- Gold Standard® verified carbon credits ensure high-quality offsets for corporations committed to decarbonization and net-zero goals.
Chestnut Carbon Expands Afforestation Efforts with $160M Investment
Chestnut Carbon has successfully completed a $160 million Series B funding round to scale its afforestation projects across the United States. The financing will enable the company to sequester an estimated 100 million tons of carbon through its Sustainable Restoration Project, a large-scale initiative to develop new forests on marginal agricultural and pastureland.
Investors in this round include existing backer Canada Pension Plan Investment Board, as well as new investors Cloverlay and DBL Partners. Additional capital came from institutional investors, including university endowments, family offices, and funds of funds affiliated with Chestnut’s founding firm, Kimmeridge.
Ben Dell, CEO of Chestnut and Founder of Kimmeridge, stated: “When we launched Chestnut in 2022, we endeavored to fill a critical void by offering high-integrity, nature-based carbon offset solutions. It is extremely rewarding to see what we have achieved since then, bringing a differentiated offering to the market. The Series B financing allows us to continue to build out our platform to meet the growing needs of sustainability-conscious organizations and advance our position as a leading provider in the international carbon markets.”
Strategic Use of Funds of Chestnut Carbon
The Series B investment will be allocated to three key areas:
1. Land Acquisitions
- Chestnut has acquired over 35,000 acres of underutilized farmland across six states: Arkansas, Louisiana, Alabama, Mississippi, Oklahoma, and Texas.
- Land purchases accelerate afforestation efforts, allowing for rapid project execution and the generation of high-quality carbon credits.
2. Technological Innovation
- Proprietary data models predict forest growth patterns by species, ensuring accurate carbon sequestration estimates.
- Chestnut’s integrated digital tools streamline land acquisition, forest inventory, and carbon modeling to maximize efficiency and transparency.
3. Talent Investment
- Chestnut is expanding its team of experts in forestry, carbon regulation, land management, and finance.
- Recruiting specialized talent will help maintain rigorous environmental standards and support long-term project success.
Nancy Pfund, Founder and Managing Partner at DBL Partners, commented: “With our investment in Chestnut, we see the potential to raise the bar by helping to create the industry leader in providing high-quality carbon offsets at scale, delivering economic and quality-of-life benefits to rural communities, and opportunities to strengthen the health and resilience of our land.”
Advancing High-Integrity Carbon Removal Solutions
Chestnut’s Sustainable Restoration Project produces Gold Standard® verified carbon credits, ensuring high environmental integrity and measurable climate impact. The company aims to meet the growing demand for carbon offsets from businesses committed to net-zero emissions goals.
Kendra Corbett, Partner at Cloverlay, emphasized: “Chestnut’s innovative approach to carbon removal solutions and measurable environmental impact are paving the way for a more sustainable future, and we are proud to partner with them to help scale their efforts and drive meaningful progress.”
