By Andrea Heisinger
A look at a market that some GPs claim is overlooked by private equity, which means greater opportunity for those already investing.
Despite the growing global population and demand for food, agriculture is still an under-represented sector in private equity, but several specialist firms are pursuing agricultural technology as a source of outsized returns.
The thesis: ag tech will be the primary means to sustainably increase food production to meet the evergrowing demand.
Privcap spoke to two PE players actively providing growth capital to the ag tech sector—New York-based Paine & Partners and California- and Israel-based Pontifax Global Food and Agriculture Technology Fund—about opportunities they’re excited about and why they find value in a sector so many others in private equity ignore.