Triodos Investment Management innovates in evergreen impact investing with Triodos Organic Growth Fund
21-01-2014 | Triodos Investment Management announces the launch of the Triodos Organic Growth Fund, a unique new long-term evergreen fund, which will provide equity to leading organic food companies and sustainable consumer businesses across Europe. The fund starts with EUR 25.3 million, provided by committed private and institutional impact investors, including Netherlands-based insurance company Achmea. Triodos Organic Growth Fund aims to grow further to EUR 150 million.
With the launch of this fund, Triodos Investment Management is pioneering a new model for impact investing: mission aligned private equity, with a long-term focus, not driven by exits. This is crucial for the further expansion of the fast growing sector for organic food and sustainable consumer products in Europe. The frontrunners in this sector, now mature companies, are hampered in their growth by the lack of long term capital that is aligned with their companies’ missions and values. These companies seek capital without being disadvantaged by short-term focussed investors.
Triodos Organic Growth Fund will build up a diversified private equity portfolio in leading later-stage organic and sustainable consumer businesses across Europe, with a focus on food and beverages, natural textiles and personal care. These frontrunners are central actors in a maturing and rapidly expanding market segment, which is key in the transition to a sustainable economy.
Marilou van Golstein Brouwers, Managing Director Triodos Investment Management: ‘Triodos Organic Growth Fund will invest in values-driven and profitable businesses with a solid and growing market position. These are privately held companies seeking capital for further growth that will not compromise on their core values and social or environmental objectives. Triodos has been committed to developing this sector for more than 30 years. That is why companies value our expertise, our approach and our longstanding relationships and find in us a strongly aligned shareholder.’
The fund is open to qualified and professional investors across Europe. Anchor participants in the first closing include Netherlands-based insurance company Achmea and trade union CNV Vakmensen.
Harry van den Heuvel responsible for Alternative Investments within Achmea insurance company: ‘Investing in Triodos Organic Growth Fund marks an important next step for Impact Investment in our Social Responsible Investment policy. Triodos Investment Management has developed a unique fund, which provides an innovative solution for long term private equity investments. The fund offers us unparalleled access to leading European organic and sustainable consumer brands and retailers and the opportunity to participate in a fast-growing sector.’
The Triodos Organic Growth Fund is a sub-fund of Triodos SICAV II, an unlisted investment fund based in Luxemburg. The Triodos Organic Growth Fund is semi open-ended in structure and is traded on a quarterly basis, at net asset value.