AGRICULTURE
Koolfarmer is a soil and water conservation and regenerating farm and training center for communities, based out of West Africa.
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ESG angle: Koolfarmer educates and traines professionals in sustainable farming in Sub-Saharien Africa
-> traine local community talents with digital and tech tools for soil quality measurement and water management
-> enhances environmental awareness and induces behavioural change in society.
-> improve livelihood of communities with specific effort brought to women (>50% of candidates)
Strategy Summary
Seeks to generate risk-adjusted returns by investing in a methodology that reduces costs
Focused on long term value investments into human capital in emerging regions of sub-Saharien Africa
To capture market opportunities from both sustainability and emerging markets
Investment Rationale
Regenerated soil renders 20-30% more, and produce are sold for 5_15% more due to better teste
A quicker rebound after COVID-19 is forecasted in Africa & Asian developing countries compared to developed countries and other developing countries
Large potential market due to rising middle class in the region where population growth is expected to be the highest over next 3 decades
Large venture capital funding potential
« It’s quite an extraordinary achievement: the African Tech ecosystem has continued to grow in 2022, despite a global economic crisis and a dramatic slowdown in the venture capital landscape. Funding for the African sector grew +8% to US$6.5B, through 764 rounds, with debt funding doubling in the year (+102% to US$1.5B in 71 rounds) to compensate for a slight decline in equity rounds (-6% to US$4.9B in 693 rounds). Clearly, the deep forces driving growth of the African Tech ecosystem have prevailed against the headwinds.« - Partech Africa 2022 report
