Aqua Capital has acquired a controlling interest in Rural Brasil, a provider of agricultural products such as fertilizers, seeds and pesticides. No financial terms were disclosed.
Aqua Capital acquires controlling stake of Rural Brasil, one of the leaders in agricultural inputs distribution in Brazil’s Cerrado.
With capital injection, company is expected to triple business in the years to come
Aqua Capital, a private equity fund specialized in agribusiness, food and logistics industries in Brazil and South America, announced today its investment in Rural Brasil, a distributor of agricultural inputs, such as fertilizers, seeds, and pesticides. With a chain of 12 stores, the company serves over 3,000 customers in the Cerrado region covering the states of Goiás, Mato Grosso, and Pará, where it is one of the market leaders.
With the fund’s resources, growth and expansion are expected in terms of products and services offered by Rural Brasil to farmers. The company is expected to triple its business volume in the next three to four years.
“We are very happy with this deal, which will allow the fund to have deeper and more active participation in the Brazilian agribusiness,” said Sebastian Popik, Aqua’s founding partner. “Rural Brasil is already one of the leaders in its industry in the Brazilian Cerrado, offering a comprehensive portfolio of agricultural inputs, with a team of over 70 experienced professionals that work directly in the field,” he added.
The fund now holds a 60% in the company’s new shareholding structure. The other 40% remained with the founding partners, who continue to work as executives with the company or in its Board of Directors. Benildo Teles and José Marcolini Júnior continue as CEO and chief marketing officer, respectively. Claudio Augusto Diniz will also maintain his position, sitting as a member of the company’s Board of Directors.
“For our customers, the deal with the fund means having an even stronger partner, improving our service capacity without changing our main characteristics — namely the simplicity and the proximity with farmers,” said Benildo Teles.
About Aqua Capital
Founded in 2009, Aqua Capital’s investment philosophy is to seek positions in companies with potential for leadership in the agribusiness, food, and logistics sectors. Aqua Capital has over USD 400 million in assets under management, with its main investors being constituted by endowments and funds of funds.
About Rural Brasil
Rural Brasil is a distributor of agricultural inputs, founded in 1987 with the purpose of bringing to farmers the most innovative solutions in pesticides and fertilizers. It currently owns a chain of stores, serving customers over the states of Goiás, Mato Grosso, and Pará. Its team has experienced professionals, who work directly in the field, assisting farmers.