Emerging and Growth Markets | February 28, 2022

AgDevCo raises $90 million to invest in African agri-businesses

Jessica Pothering
ImpactAlpha Editor

Jessica Pothering

ImpactAlpha, February 28 – AgDevCo has invested $150 million since 2010 in small agri-businesses providing inputs, logistics and production assistance to Africa’s smallholder farmers, particularly women. The London-based nonprofit impact investor has raised $90 million from the development finance institutions of the U.K., Norway and the U.S. to expand its portfolio.

CDC and Norfund collectively invested $70 million in equity, while the DFC committed $20 million in senior debt. CDC Group’s Tenbite Ermias said the investment aimed to help farmers in emerging markets “that are most vulnerable to the impacts of the climate emergency.”

AgDevCo also secured $5.4 million to provide technical assistance.

Value-chain investing

AgDevCo provides up to $10 million in capital for agri-input, production and logistics businesses like Kenyan farmed-fish producer Victory Farms, equipment leasing company EFAfrica Group, and Tanzanian grain-storage provider Pee Pee Tanzania. The firm has invested in 80 early-stage businesses.