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07 Feb

Investments take root with Arbaro Fund


New add-on-acquisition of 500 ha to company Forestal Apepú SA will contribute to 100,000 tons of CO2 being sequestered

Investments take root with Arbaro Fund 
New add-on-acquisition of 500 ha to company Forestal Apepú SA will contribute to 100,000 tons of CO2 being sequestered 


Frankfurt am Main, February 7, 2020 – The Arbaro Fund (Arbaro), which invests in sustainable forestry projects in Latin America and Sub-Saharan Africa, recently signed a deal to acquire 500 hectares more land for their forestry company Forestal Apepú SA (Apepú), which is fully controlled by Arbaro. The new acquisition grows the net production area of Apepú to 1,900 ha which will be fully planted by end of 2021.

The acquisition is the second investment within the planned cluster of Arbaro’s reforestation projects in Paraguay. Apepú acquired the land from a neighbouring farmer who used the land as a soy farm. 90% of the land will be reforested, mainly with eucalyptus. In an area with around 25 ha, native species will also be planted using innovative silvicultural approaches. The remaining natural forest and wetland areas within the property will be protected for biodiversity conservation purposes.  

“This is a perfect example of ‘economies of scale’ as the expansion leads to a reduction in management costs per hectare,” said Marco Kaiser, Managing Director of Arbaro Advisors GmbH, the investment advisor of the fund. “We will also be able to expand our contribution to employment in the region by hiring addition local staff from the neighbouring communities. This new investment is indicative of the fact that we are very active in the local market, and it reaffirms that Arbaro has exclusive access to investment opportunities that are not on the market.” 

About Arbaro Fund, SLP 
Arbaro is a Luxembourg-based private equity fund managed by FiM Asset Management S. à r.l. The fund’s investment advisor is Arbaro Advisors GmbH, an investment advisory company jointly established by Finance in Motion – a leading impact asset manager, and the UNIQUE Group – a leading forest consulting and forest management firm. Arbaro invests in sustainable forestry projects in Latin America, the Caribbean, and Sub-Saharan Africa, in countries where biophysical growth conditions for forests are ideal. By establishing a renewable resource through sustainably managed and FSC-certified forest plantations, Arbaro provides significant mitigation and adaptation benefits in its target countries. Over its lifetime, Arbaro aims to sequester 20 million tons of CO2. Operating in rural areas, Arbaro will contribute to social development through job creation as well as knowledge and skills development. By supporting the development of the sustainable forestry sector in its target countries, Arbaro contributes to overall economic development while earning positive returns for its investors.

Arbaro is supported by the European Investment Bank as anchor investor, the Finnish Fund for Industrial Cooperation as an experienced forestry investor, and private-sector investors including fair-finance Vorsorgekasse, GLS Treuhand, and Girteka Logistics. 

For more information, visit www.arbaro-advisors.com

Press Contact, Arbaro Fund
Anabel Tennassie-Goossens
Senior Officer Communications and Marketing
Phone: +49 69 271 035-580
Email: a.tennassie@finance-in-motion.com