We believe that increased consumer demand for safer, higher quality food products in emerging markets offers a compelling return opportunity.

Proterra’s Food investment strategy seeks growth equity investments in three food industry sectors: protein production, value-added processing, and supply chain management. We believe that the continued urbanization of emerging markets, an expanding middle class, shifting dietary preferences toward protein consumption, and the increased importance of safe, high-quality food are trends that will drive long term growth in these sectors. The strategy’s investments include leading producers/processors with forward thinking managers who can scale rapidly and efficiently, implement food safety/quality systems, and manage risk throughout the value chain. The geographic mandate is global emerging markets where changing food consumption patterns are driving growth.

THEMES

  • Protein production – dairy farming, aquaculture, poultry farming, hog farming.
  • Value-added processing – meat processing, dairy processing, food ingredients, juices and beverages.
  • Supply-chain management – supply logistics, transportation, warehousing, cold storage.
  • Geographic focus – global emerging markets.

CRITERIA

  • Food industry subsectors with rapid, sustainable scale potential.
  • Established management teams to capture opportunity.
  • Alignment of interests with key stakeholders.
  • Proven business models that are cash-flow positive.
  • Appropriate control over exit terms.
  • Demonstrated local demand.
  • Investing where risk mitigation is possible through industry and regional contacts/presence.
  • Companies must view food safety as a core value.