At Peoples Company Land Investment Expo in Iowa earlier this month, FCSA senior vice-president Jim Knuth said market conditions are combining to squeeze farmer margins and will bring the current boom to an end.
The Shariah-complaint real assets and project finance vehicle will pursue biogas energy projects in the UK, in a similar strategy to the firm’s predecessors.
The energy transition-focused manager has closed its fourth fund on €670m, with the adaptation of agriculture to climate change part of its strategy.
Fitch Solutions study cites government policy, M&A activity and than 2,500MW worth of agrivoltaic projects in the planning or construction stages as tailwinds for the sector.
The Prime Alternative Finance fund has a pipeline of projects worth roughly £500m and the firm is close to launching a Sharia-compliant version follow-on.
The fund will invest primarily in startups transforming renewable raw materials, one focus being the conversion of agricultural waste or C02 to renewable end-products.