Fidante, the multi-affiliate fund manager of ASX-listed investment manager Challenger Limited, has picked up a minority stake in food and agri business-focused private equity firm Proterra Asia, per an announcement.
Prior to this investment, Fidante and Proterra Asia had formed a distribution partnership which saw Fidante help the PE firm access investors in the UK and Europe.
Most recently, Fidante partnered with Proterra Asia in the final close of its over $200-million Food Fund 3 in October 2022.
As a result of the new transaction, Fidante’s distribution support for Proterra Asia will extend beyond the UK and Europe to also cover Australia, Japan, and other agreed jurisdictions, the Australian manager said.
“Diversifying Fidante’s capability and offering in the alternatives space is a strong area of focus for us. Proterra Asia’s commitment to supporting and investing in sustainable food and agriculture businesses in Asia is a highly sought-after proposition to global investors seeking innovative, high-growth opportunities,” added Challenger’s chief executive of funds management Victor Rodriguez.
With Fidante’s assistance in introducing and distributing Proterra Asia’s offering to investors in strategic markets, the PE firm will be able to maintain its diligent focus on deployment, Rodriguez added.
Proterra Asia had closed its Food Fund 2 at $700 million in 2015 and its first $460-million fund in 2011.
The firm has invested over $1 billion across more than 30 companies, according to its website.
With offices in Singapore and Shanghai, Proterra Asia has primarily invested in Southeast Asia and China. Most recently, it backed ecoSPIRITS, a Singapore developer of a low-carbon, low-waste distribution technology for premium spirits and wine. Earlier in 2022, the firm funded bioenergy products firm Apeiron.
In China, it has invested in companies such as nutrition and supplements business Zhong Hong, soy sauce brand Wuan Chuang, and healthy beverage producer No Ordinary Drinks.
Fidante invests across equities, fixed income, and alternative assets. Its alternatives portfolio include Ares Australia Management, Cultiv8 Funds Management, PATRIZIA, and Resonance Asset Management.
The firm had approximately A$72.4 billion ($49 billion) funds under management as at the end of 2022.