High-value crops grown with seawater and solar power
PORT AUGUSTA & SYDNEY, Australia–(BUSINESS WIRE)–
Sundrop Farms Holdings Limited (“Sundrop Farms” or the “Company”), a
pioneering arid climate agribusiness, announced today that global
investment firm KKR has provided growth capital to the Company and its
wholly owned subsidiary Sundrop Farms Pty. Limited (“Sundrop Farms
Australia”). The funding will be used to significantly expand Sundrop
Farms’ glasshouse facility in South Australia and underpin its
international development.
Sundrop Farms grows its crops in state-of-the-art glasshouses using a
unique proprietary technology developed to address the water and food
security issues typical to arid regions. The “Sundrop System” uses
concentrated solar power to create the heat, electricity, and
desalinated water needed to feed and power Sundrop’s growing operations.
Philipp Saumweber, Sundrop Farms CEO, said, “We grow food where land is
too arid for farming, fresh water is in short supply and domestic food
security is a concern. Farming with typical agricultural inputs would be
unsustainable in these regions, so Sundrop uses renewable energy to
heat, power and water its crops. Sundrop is the world’s first
commercially and environmentally sustainable arid climate agriculture
business, and this significant investment is at the heart of our growth
strategy.”
KKR’s investment allows Sundrop Farms to scale its existing operations
in Port Augusta, South Australia, by financing a 20-hectare greenhouse
facility which will produce more than 15,000 tons of vegetables annually
for markets across Australia. Sundrop and KKR intend to develop a hub of
agricultural innovation for arid climates in Port Augusta which will
allow for further development in countries with similar environmental
conditions. Further to those goals, KKR’s investment in Sundrop Farms
will also support its plans to expand into the Middle East, North
America and other supply-constrained markets around the world.
“Sundrop Farms provides a unique and innovative solution to
environmental challenges in farming,” Justin Reizes, Member and Head of
KKR Australia, said. “KKR looks to invest in and partner with companies
that provide solutions to environmental and societal challenges. Sundrop
Farms epitomizes this effort, and we are delighted to work with this
experienced and knowledgeable team to pursue new growth opportunities in
Australia and internationally.”
Internationally recognized contractors John Holland Group, Aalborg CSP,
and Van der Hoeven are managing the construction of the new facility.
The construction and operation of each hectare of Sundrop Farms
glasshouses creates long-term green employment in regions of the world
which might not otherwise be home to a high-value agricultural industry.
Construction of the Sundrop Farms Port Augusta expansion facility begins
this month and is due for completion in 2016.
KKR has made its investment from its Asian Fund II. Additional terms of
the transaction were not disclosed.
About Sundrop Farms
Sundrop Farms is a pioneer in sustainable agriculture for the arid
world, growing high-value crops using seawater and sunlight. It has the
technology and operational skills to develop, construct and operate
greenhouses in locations that have little or no access to arable land,
fresh water sources, grid electricity or natural gas. The company has
created a proprietary food production system which grows high quality
produce, all year round, in greenhouses that use the abundant and
renewable resources of sunlight and seawater. As the world’s population
continues to grow, Sundrop Farms is de-coupling food production from
finite resources and relying instead on renewable resources to grow the
world’s food industry, not just profitably but also sustainably. Please
visit Sundrop’s website at www.sundropfarms.com
About KKR
KKR is a leading global investment firm that manages investments across
multiple asset classes including private equity, energy, infrastructure,
real estate, credit and hedge funds. KKR aims to generate attractive
investment returns by following a patient and disciplined investment
approach, employing world-class people, and driving growth and value
creation at the asset level. KKR invests its own capital alongside its
partners’ capital and brings opportunities to others through its capital
markets business. References to KKR’s investments may include the
activities of its sponsored funds. For additional information about KKR
& Co. L.P. (NYSE: KKR), please visit KKR’s website at www.kkr.com.
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Press enquiries:
KKR:
For KKR Asia Pacific
Steven
Okun
steven.okun@kkr.com
+65
6922 5800
or
Anita Davis
anita.davis@kkr.com
+852
3602 7335
or
For KKR Americas
Kristi Huller
kristi.huller@kkr.com
+1
212 750 8300
or
Bespoke Approach (for KKR Australia)
Ian
Smith
ismith@bespokeapproach.com
+61
8 8419 2888
or
Sundrop Farms:
For Sundrop Farms
Australia
Amanda Fahey
afahey@sundropfarms.com
Tel
+6188100 5200
or
Naked Communications (For Sundrop Farms)
Catherine
Donnelly – contact for images
catherine.donnelly@nakedcomms.com
Tel
+61405686791
or
Sundrop Farms UK:
Toby Wilkinson –
contact for images
twilkinson@sundropfarms.com
DL:
+442071936076
Office:+442031500555
or
Natalie Dodds
natalie.dodds@nakedcomms.com
Tel:
+61401451613
Source: KKR