Tackling Climate Change through Private Market Investment
Mbuyu Capital is focused on reducing climate change and improving climate resilience while generating attractive returns. We deploy our own capital and use it to leverage in capital from work with like-minded investors. We invest in innovative science-driven companies, especially in the food and agriculture sector, which accounts for 15% of global greenhouse gas emissions, especially from the livestock sector. We also invest in debt and equity special situations offered by companies needing quick access to capital with a defined exit.
Latest Research from Mbuyu Capital: CAIA Blog Post by our Partner David Donahue et al. "Surveying the Ecosystem Enabling Private Capital Market Success; A Spotlight on Advances in ‘Alternative’ Protein" Click here for the link
Climate Special Situations
Our Special Situations strategy invests in companies improving food security, climate change resilience and reducing GHG emissions, with a focus on Africa :
We have been investing in and operating companies in Africa for over 10 years. We manage over $100m, ensuring good access to opportunities.
There is a dearth of flexible, commercial capital in Africa, with slow-moving and inflexible development finance institutions (DFIs) dominating the capital base.
Most African private equity funds are allowed little flexibility over how they invest and what they invest in by their predominantly DFI investors.
This leaves a large window for investing in special opportunities created by companies' short term cashflow needs, balance sheet restructuring or secondary sales of equity by existing shareholders.
We focus on countries with predictable rule of law and political stability where we have strong local networks.
We target 20%+ IRR, 1.5x capital and an expected exit within three years.
Tackling Climate Change through Innovation
We invest globally in innovative, science-driven companies which reduce greenhouse gas (GHG) emissions, mitigate climate change and build resilience, with a focus on the food and agri sector:
The agriculture sector contributes c. 30% of global GHG emissions, through methane from livestock, food waste and fertilisers.
Strategies include investing in plant-based and cultured protein producers to reduce consumption of meat and dairy from from livestock and provide an alternative way to meet increasing demand.
Investment in companies developing novel, climate resilient seeds and integrated pest management reduce GHG emissions from farming, promote conservation and improve farmers' climate resilience, and food security, especially in the Global South.
We target equity investment in a mix of early stage and more mature businesses and seek to play an active role adding value.
We have a background in science, building companies and institutional investment, providing us with the experience needed to invest successfully in this sector.
We invest globally, with a focus on Europe and other developed markets and target 20%+ IRR, 3x capital over three to five years.
Investment is through our funds, with bespoke opportunities for larger investors.
Photo: Baobab ("Mbuyu" in Swahili) tree near Arusha, Tanzania. The baobab absorbs and stores water in its vast trunk during the rainy season, enabling it to produce a nutrient-dense fruit in the dry season when all around is dry and arid. It is a symbol of power, strength and grace.