ADM Capital Europe’s new Cibus Fund agribusiness investment vehicle has acquired a majority stake in Spain’s Olivos Naturales (Innoliva), one of Europe’s largest extra virgin olive oil (EVOO) producers.
Pamplona-based Innoliva produces up to 9,000 tonnes of EVOO annually and has pioneered a super-high density olive oil production method at its 5,000ha of olive groves, according to a 27 October Global Aginvesting report.
Dry-farmed olive plantations were traditionally planted at a density between 12 to 50 trees/acre, but through the development of irrigation systems, specialised varieties and pruning methods, Innoliva’s plantations held densities between 150 and 300 trees/acre.
Ron Appleby, co-founder and join chief investment officer at ADM Capital, said Innoliva’s pioneering production technologies had positioned it as one of the world’s most sustainable and lowest-cost producers of consistently high quality EVOO.
ADM set up Cibus Fund in May with an initial US$100M budget to capitalise on the “significant investment opportunities” in global agribusiness and ongoing evolution in demographics and trade patterns, Global Aginvesting said.
The investment in Innoliva was the fund’s second investment to date.