CLSA makes $15m investment in Indonesian tea company

The investment was made from CLSA’s Clean Resources Asia Growth Fund, L.P., and is the first direct investment the fund has made in the area of sustainable agricultural technology. As part of the deal, CLSACP took convertible notes which can be exchanged for a minority equity stake.

The capital infusion will help Sari Wangi to finance its newly launched agriculture technology solutions company, PT Nutrigasi Indonesia, and expand its core tea business. The company's agritech services include the distribution of water and fertilizer through a drip irrigation, wireless sensors and specialized agronomy techniques. Such implementations have enabled the company to reduce its fertilizer use by more than 50% and increase its yields by more than 60%, according to a statement.

“Agricultural technologies will become increasingly important in the future," CLSACP Managing Director Peter Kennedy said in a statement. "Food consumption is expected to double by 2050, driven by population growth and demand for higher protein diets as emerging markets become wealthier.”

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Save this article  
• Send to  

• Topics
• Early-stage
• Southeast Asia
• Consumer
• CLSA Capital Partners