This archive report was first published on 11 May 2021.
On May 11, 2021, Britain's CDC Group made a significant commitment to ETG, a leading agricultural company, by investing $100 million in the company.
This investment marks one of CDC's largest corporate debt investments and is part of the company's focus on supporting businesses that prioritize environmental, social, and governance (ESG) standards.
As part of the funding facility, CDC will support ETG's ongoing efforts to implement and align with international ESG standards, with a focus on supply chain risk management, safeguarding work, and procedures.
ETG has a strong track record of ESG credentials and has recently launched a data-driven agricultural intensification pilot project in Kenya to improve farmers' productivity while enhancing environmental risk management and climate resilience.
According to Anish Jain, Chief Treasury Officer of ETG, the company is excited to expand its presence in various markets and offer support to communities across its extended footprint.
“This commitment marks a solid achievement for ETG to further strengthen its supply chain and mitigate risks in its operations. Including this CDC capital commitment, ETG has one-third of the loan book linked with ESG and sustainability standards,” said Tony Morgan, Managing Director & Head of Private Equity and Corporate Debt at CDC Group.
Mr. Morgan emphasized the importance of agriculture and rural development in accelerating Africa's economic transformation and meeting global food and health needs.
“As these sectors continue to evolve and grow exponentially, this shift will be bolstered by a diversified, technologically-enabled, and commercially-oriented agro-industry – one that connects Africa's markets regionally and internationally,” said Mr. Morgan.
Emma Wade Smith OBE, Her Majesty's Trade Commissioner for Africa at the UK Department for International Trade, also highlighted the importance of improving access to markets for Africa's farmers, which is critical to food security and sustaining the livelihoods of farmers and their families.
