Investors commit a combined total of US$ 8.5 million to expand Good Nature Agro’s social impact.
Amersfoort, the Netherlands – Social impact investing cooperative Oikocredit has joined with co-investors Goodwell Investments and Global Partnerships/Eleos Social Venture Fund to provide US$ 8.5 million in equity to Zambian social enterprise Good Nature Agro.
Good Nature Agro supports 30,000 southern African smallholder farmers in growing drought-resistant, early-maturing legume seed varieties, including beans, cowpeas, soyabeans and groundnuts. Its agritech-based business model encompasses access to inputs, input finance, smart and reduced fertiliser use, climate-smart training, and a guaranteed market for high-value produce. It gives farmers a wealth of support to professionalise their businesses and establish a clear path out of poverty.
With this new investor capital, Good Nature Agro will continue to expand its ambitions and reach, grow farmers’ productivity and incomes, and improve their access to finance. The company has recently opened a new factory in Lusaka and aims to increase its client base to 50,000 smallholders by 2027.
Carl Jensen, CEO of Good Nature Agro, said: “Good Nature has broken the boundaries of most agribusinesses by engaging the full value chain – connecting growers, aggregators, processors and consumers – and delivering exceptional service through a hybrid tech and ‘boots on the ground’ model. We very much welcome Oikocredit as a new investor, endorsing our approach and potential, and are equally grateful for the partnership and trust of our existing investors Goodwell and Global Partnerships who participated in this round.”
Neo Maruatona Ratau, Investment Director at Goodwell Investments, said: “The remarkable growth Good Nature Agro has achieved since our initial investment has been impressive. We are delighted to collaborate with investors Oikocredit and Global Partnerships to support Good Nature’s upcoming expansion phase, fuelled by the convergence of digital and financial inclusion, along with strategic growth initiatives.”
Jim Villanueva, Managing Director of Eleos Social Venture Fund at Global Partnerships, said: “We first invested in Good Nature Agro during their seed round in 2018 and have witnessed their ability to adapt and scale their offering to enable farmers to increase and diversify their incomes in the face of climate change and gender inequality. We are proud of the results to date and of the opportunity to support Good Nature in this next chapter of growth and impact.”
Samuel Kibiri, Oikocredit’s Equity Officer for Africa, said: “Our new partnership with Good Nature Agro will enable Oikocredit to help more low-income African farmers improve their livelihoods through better yields and access to markets. We’re delighted to be co-investing with like-minded investors in an innovative business with a clear mission to lift farmers out of poverty and help them increase their resilience.”
About Good Nature Agro
Founded in 2014, Good Nature Agro is a tech-enabled for-profit social enterprise that believes in farmer-centric impact and values personal face-to-face relationships. It works to support southern African smallholders in low-income communities in growing and marketing high-quality legumes. Good Nature’s innovative business model seeks to answer small-scale farmers’ most pressing questions and enable them to produce the best seed and commodities, improve soil and land health, access the right inputs on loan, and find an assured market for their produce. Its clients’ incomes average three times what they traditionally earned growing maize as a monocrop, helping them better meet their households’ health, education, food and other needs.
For more information, visit https://goodnatureagro.com/.
About Goodwell Investments
Goodwell Investments is a pioneering impact investment firm focused on inclusive growth in sectors providing basic goods and services and income generation opportunities to underserved communities in Africa and India. The firm provides early-stage equity to high- growth, high-impact businesses. With teams in Kenya, Nigeria, South Africa and the Netherlands and a track record of over 15 years, Goodwell demonstrates the ability to simultaneously deliver significant social impact and strong financial returns.
For more information, visit www.goodwell.nl.
About Global Partnerships
Global Partnerships is an impact-first fund manager dedicated to expanding opportunity for people living in poverty. Global Partnerships’ affiliated funds invest in sustainable solutions that help people increase their incomes and improve their lives, with investments in economic livelihoods, education, energy, health, housing, and water and sanitation. Since inception, Global Partnerships and its affiliated funds have deployed US$ 740 million in impact investments to 194 partners, bringing meaningful impact to more than 30 million lives in 33 countries.
For more information, visit https://globalpartnerships.org.
Social impact investor and worldwide cooperative Oikocredit has nearly five decades of experience funding organisations active in financial inclusion, agriculture and renewable energy.
Oikocredit’s loans, equity investments and capacity building aim to enable people on low incomes in Africa, Asia and Latin America to improve their living standards sustainably.
Oikocredit finances more than 500 partners, with total outstanding capital of € 981.1 million (at June 2023). For more information, visit www.oikocredit.coop.
This Article was originally published by: OikoCredit