SEAF Invests in Abhay Cotex – Technology Based Cottonseed Processor
SEAF Washington, DC‘s Investment Note of 2011 Small Enterprise Assistance Fund (“SEAF”) announced that SEAF India Agribusiness Fund (the “Fund) has invested in AbhayCotex Private Limited , Jalna Maharashtra India – a Technology based Cottonseed Processor with single stage extraction process that saves water and energy and produces value added products.
Small Enterprise Assistance Funds (“SEAF”) announced today that the SEAF India Agribusiness Fund (the “Fund”) has invested in Abhay Cotex Private Limited (“ACPL” or the “Company”), a Jalna, Maharastra-based, company extracting edible oil, high protein de-oiled cake for cattle feed (“DOC”), linters and hulls from cottonseed, using proprietary technology. The Company produces DOC and edible oil from cottonseed using a continuous, single-stage extraction process that saves roughly 90% of the water and energy used by conventional technology. The Company’s DOC has almost double the protein content of conventional cottonseed DOC. The effect on introducing ACPL’s DOC-based cattle feed is to increase productivity among dairy cows by up to 20% within the first 4 weeks. The Company produces for both the domestic market as well as exporting to Thailand, South and East Africa, China, and Korea. SEAF’s investment will be used to support the establishment of the Company’s second processing plant, while helping the Company improve its marketing and begin exploring the licensing of its technology.
Mr. Bert van der Vaart, Co-founder and Chairman at SEAF said: “Abhay Cotex’s technology has the potential to substantially improve the productivity of India’s dairy production. We are delighted to partner with the Company in its path to rapid growth. By saving on water and energy costs, and producing superior grade DOC, the Company has the potential to greatly boost the productivity of dairy cows at just the time when demand for dairy products in India is increasing significantly. The Company’s focus on making the most out of the cottonseed places it in a solid position to benefit from its other products as well, where it is achieving virtually zero waste.”
Mr. Ashish Mantri, MD at ACPL said: “We are happy to bring SEAF in as a financial partner and are looking to avail ourselves of its experience in the agribusiness and international business space. We believe we will be better able to attain our potential with SEAF as a partner”. Mr. D.A. Prasad CEO of ACPL said “ACPL cottonseed processing technology would add immense value to the nation both directly and indirectly”.
SEAF is a global fund management group specializing in providing growth capital and business support to growth-oriented small and medium-sized enterprises (SMEs) in emerging markets. Headquartered in Washington, D.C., SEAF manages private equity funds in these markets through a network of 21 offices around the world. For over two decades, SEAF has supported the growth of SMEs through structured debt and equity risk capital and extensive post-investment business assistance. SEAF’s experience making more than 350 investments in small businesses has allowed it to identify and invest in promising companies that deliver positive financial returns for its investors. With more than USD 620 million in committed capital since inception and 28 funds and investment vehicles historically, SEAF is a leader in SME investment in emerging markets.
About the SEAF India Agribusiness Fund
The SEAF India Agribusiness Fund targets investment in fast-growing agribusiness focused
companies in India. With the world’s second largest amount of arable land and a rapidly
growing economy, India represents a tremendous opportunity for investment in the
agribusiness sector. Recognizing the technological talents in India, and relying on a team
with extensive experience in Indian agribusiness, the Fund focuses on companies in the food value chain with strong management, with a demonstrated track record, and innovative and superior technology for productivity improvement and value addition. The Fund commenced investment operations in 2010.
For more information about SEAF, the SEAF India Agribusiness Fund and SEAF’s other emerging market funds, please visit www.seaf.com.