Floresta Viva and Moringa Fund

for Organic Pupunha in Agroforestry

Floresta Viva is a Brazilian company producing food and timber products following syntrophic and ecosystem-revitalizing agriculture principles.

The company was founded by the joint investment of Brazilian private investors – mainly the Pini Brothers and Fernando Meireles – and the France-based impact investing fund Moringa. The investment amount totals €8 million and involves scaling up sustainable Pupunha heart of palm production in the São Pedro Farm and the construction and implementation of a bottling industry.

Floresta Viva’s main production site is the São Pedro Farm, in the Ribeira Valley, which encompasses a total area of 1,026 hectares, 70% of which is preserved Atlantic Forest. Based on specific consultant expertise on agroforestry and agroecology and the growing consumption of organic food in Brazil, São Pedro Farm is now developing a groundbreaking production system of organic Pupunha heart of palm. The new system converts old cattle ranches into environmentally friendly and labor-intensive agricultural activity.

Clement ChenostApplying an agroforestry system is per se a climate change mitigation strategy.
(Clément Chenost, co-founder and investment director of Moringa Fund).

Roberto PiniIt was a series of synchronicities that led us to know about the Agroforestry system. And we believe this to be the highest in terms of sustainability and intelligent agriculture.
(Roberto Pini, co-investor Floresta Viva)

To view the full case study click here

Main points of the impact investing in Floresta Viva

  • The investing structure does not include the tranches for first loss partners – everyone is there for “real investing”.
  • Moringa is the first agroforestry impact investing fund and the investment in Floresta Viva is the first impact investment in this field (non-cattle ranching) in Brazil.
  • The investment is done via equity capital jointly with local individual investors.
  • The foreseen exit time is after six years with a minimum annual market financial return expectation of 10–12%.
  • In order to reach the planned amount of organic Pupunha heart of palm, besides investing in scaling up production in the flagship farm – São Pedro Farm – Floresta Viva will also scale up production with outsourced producers (medium and smallholder farmers in the region) with whom the same agroforestry organic production principles will be applied.
  • The investment includes the creation of a network of small farmers who are trained and financially supported to implement organic agroforestry plots in the region.
  • Floresta Viva guarantees full product traceability.
  • Clear targets for the Atlantic Forest restoration and preservation (800 ha) have been defined.