Private equity investor in forestry and agricultural assets Folium Capital, is launching a Regenerative Natural Resources, FundFolium Fund III LP. This Fund seeks to optimize land use across asset classes on four continents by striving for maximum returns while furthering the efforts to fight climate change and remaining beneficial for investors' returns.
"After investing together in natural resources for more than 18 years, we are proud to launch our Regenerative Natural Resources Fund and offer investors the opportunity to diversify, hedge inflation, and generate return through the assets our team knows best," said Andy Wiltshire, Managing Partner of Folium Capital. "The Fund reflects our high conviction that forests and agriculture will continue to provide stable, long-term value as our changing world pursues a more sustainable, healthier future."
It is the first time Folium has combined agriculture, forests, and carbon optionality into a single investment vehicle, despite managing more than USD 1 billion in assets across multiple portfolios. With an investment period of four years and a term of twelve years, the Fund seeks to raise USD 500 million in capital from accredited investors and/or qualified purchasers.
"We are confident that our long-term team of foresters and farmers with deep investment expertise is a strong fit for this long-term sector," said Wiltshire. "The Fund's optionality – across forests, agriculture, and carbon – is expected to enhance liquidity with diverse revenue streams and investment maturities."
The Fund's forest strategy reflects a rapidly changing world with dual demands on forests. Folium's approach includes atmospheric carbon sequestration and increased timber production for traditional uses and newer technologies. By emphasizing the development of new plantations capable of meeting both goals, the Fund accentuates its focus on wood and carbon.
It focuses on the development of new orchards and vineyards in response to the growing global demand for healthy, nutritious plant foods. Among Folium's ten fruit and nut crops, Folium maintains high convictions, focusing on exposure to countries belonging to the Organisation for Economic Co-operation and Development (OECD), where Folium manages existing investments and maintains contacts with proven operating partners.
Folium's sustainably managed forestry and agricultural assets span Australia, Brazil, Chile, Panama, Portugal, Spain, the United States, and Uruguay.