The Althelia Biodiversity Fund Brazil is a blended finance fund aimed at creating sustainable business models in Amazonia Legal, Brazil to conserve biodiversity. The closed-end fund targets a size of $100 million and will invest equity, convertible debt, loans, structured- and profit- participating-debt.
USAID provides a guarantee covering up to 50% of principal for debt allocations. The International Centre for Tropical Agriculture (CIAT) invests in the fund’s junior tranche, providing further derisking for investors in the senior tranche.
The fund is split into two investment windows: a “Venture” window, investing in very early-stage companies, and a “growth” window, targeting more mature companies with positive cash flows.
The Fund is managed by sustainable investment manager Mirova Natural Capital41.
41 ‘First Closing of the Althelia Biodiversity Fund Brazil’. 2019. Althelia Funds. 28 October 2019. https://althelia.com/2019/10/28/first-closing-of-the-althelia-biodiversity-fund-brazil/.