Acorn Agri was incorporated in February 2014. The company serves as an investment holding company through which strategic agricultural investments can be made. Acorn Agri is managed by Acorn Private Equity, a specialist private equity fund manager.
The purpose of this vehicle is to capitalise on the consolidation of agri and food businesses that is currently taking place in Southern Africa. Significant corporate actions are underway and the opportunity exists to create a strong, diversified portfolio of businesses that will improve food security and increase sustainability of earnings.
Currently 40% of food is still imported into Sub-Saharan Africa, yet 60% of the world’s uncultivated arable land is in this region. There is a tremendous opportunity for growth in the agri space and Acorn Agri is positioning itself to be part of this.
The investment philosophy is to search for excellent businesses with high quality management that can be acquired at reasonable prices. This will be done across various geographies and commodities thereby creating a diversified portfolio of assets. The businesses will then be strategically reorganised to create “pillars of excellence” across the various commodities and industries. These “pillars of excellence” will facilitate growth, sustainability and lead to further acquisitions and consolidation.
We believe Acorn Agri has the potential to become a very powerful agricultural company in the near future.