Agri-Food Investor Pioneering Ventures Launches Private Equity Fund of $70 Million

Key Highlights

Pioneering Ventures has launched a $70 million private fund to make growth capital

Pioneering Ventures operates merely with more than 7000 farmers and provides then access to markets

Pioneering Ventures plans to fund in capital expenditure of these five companies

Pioneering Ventures has launched a $70 million (INR 489 crore) private fund to make growth capital to the firms it has backed in India. Zurich and Mumbai-based agri-food investor dedicated to Indian agriculture and food space.

A growth capital vehicle to be generated through family offices and other corporate investors have funded more than $143 million (INR 1000 crore) in India by the side of its co-investors. The five companies in the Agriculture and food sector are – Desai Fruits & Vegetables, India’s biggest banana exporter; Milklane, dairy business company; Citrus International, one of the biggest citrus concentrate in India, Middle East; Samaaru technology-enabled value chain and financial service provider and FarmLink, fruits and vegetables supply chain company. The investors said the investment was required as four of the companies are now ready for their next level of development.

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Matin Wittwer, Executive Partner, Pioneering Ventures said, “The investment has the vision to support and quickly grow our present business, by that funding in the activities around the next two years. Now, we operate five companies in the agri-food sector with an aim to make maintainable and verifiable social influence among the farming and rural community.”

Pioneering Ventures released an official statement that intends to build an inclusive agri-food platform that manages the end-to-end value chain. The company operates merely with more than 7000 farmers and provides then access to markets in India and foreign.

“The five firs play an essential part in building an end-to-end value chain in agriculture and food sector in the country. The companies are well-focused on the acquisition of agricultural procedure and working keenly with the farmer and their families to create a structured course for them to the consumer” Wittwer stated.

Pioneering Ventures plans to fund in capital expenditure of these five companies over the two years. It is estimated that their sales will grow three times to $300 million (INR 2095 crore) during the spell. Around the five platforms, the investment hires 500 people in the country and targets to touch one million farmers via its ventures.

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“Growth vision provided by India’s agri-food sector is exceptional and is ready to build a big revolution. Numerous agriculture and food products grow in multiple digits, at a much bigger rate than similar markets in Europe or North America. The investment offers international investors with controlled and compliant to these markets,” Wittwer added.

Recently, Bangalore-based packaged food company, MTR Foods, also build $7 million (INR 50 crore) seed fund to fund the startups that are involved in food processing. This may, NARBARD (the National Bank for Agriculture and Rural Development) has announced a $100.2 million (INR 700 crore) venture capital fund for equity investments in agriculture and rural-based startup businesses.

Although Pioneering Venture did not reveal whether it is planning to cultivate any new firm, it did mention that its latest investment firm Samaaru will introduce its services by the end of this year. The company will also credit available to poor and unbanked farmers.

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