Gaia to launch water-focused funds to benefit agriculture

 

 

Gaia Capital Advisors plans to launch a water fund focused on private equity investments in water purification technologies that will eventually benefit agriculture.

 

Speaking before the screening of a documentary on food security, which Gaia backed, Coast Sullenger, managing director of Gaia, said water would complement its funds in agriculture and resources.

 

"Energy, agriculture and water are all interrelated," said Sullenger.

 

The fund will target investments into technologies for water purification, particularly in regions including China, India and Russia, said Sullenger.

 

Investments in assets including aquifers would also be of interest, he added.

 

The Geneva-based firm, which already manages about US$250 million of investor funds, expects investor demand for the new fund to come from institutions and high net worth individuals, but is yet to take the fund to market.

 

Sullenger said investor sentiment has improved in recent months as the firm has fielded more enquiries, although this hadn't translated into new inflows.

 

Gaia sees increased interest in agricultural and water related investments going forward due to the growing world population.

 

"It a new opportunity for agriculture given we need to double food production by 2050," said Sullenger.

 

"Industry has to act to keep up with demand."