West Africa-focused fund manager Injaro Investments have made their second investment in Mali’s agricultural sector by backing Comptoir 2000, an indigineous seed producer, in an undisclosed deal. The investment was made through Injaro Agricultural Capital Holdings, or IAHCL, their impact investment fund.
According to Comptoir 2000’s founder and managing director, the capital will help the firm increase production of improved seed varieties, expand the firm’s distribution network and help the company improve its operational efficiency and effectiveness.
“The very first moves of the partnership with Injaro have been the review of our organisational structure and governance improvements prior to the signing of the agreement.” said Issa Dembelé. “We are confident that the financing and operational support from Injaro, its technical assistance facility and rich experience along West Africa’s agricultural value chain will greatly improve our future prospects.”
Comptoir 2000 was originally founded in 1990, and started life as a distributor of agro-inputs such as herbicides and pesticides. In 2000, the firm made the decision to expand its activities to produce and distribute crop seed to small-scale farmers at affordable prices. To date the company has developed its own plantations and a network of outgrowers to deliver its services.
Commenting on the transaction, Dadié Tayoraud of Injaro Investments said, “This is the ninth Injaro portfolio company along the agricultural value chain. We believe that this investment will improve the probability of impacting significant numbers of people including rural smallholder farmers whilst generating a good return for our investors. We are particularly enthusiastic about increasing agricultural yields, especially for the staple crops critical to the livelihoods of smallholder farmers, which will be a major contributor towards poverty alleviation and long term improvement in Mali and West Africa’s food security.”