Rice from Africa for Africa: Duxton Asset Management and its Investment in Tanzanian Rice Farming

Published 24 Mar 2014
Reference 6007
Industry Private Equity
Region Other Regions
Length 26 page(s)
Language English
Summary

Duxton Asset Management, a specialist agro-business investor, is evaluating an investment in rice farming in Tanzania, Africa. Duxton has a business strategy of investing in operating farmland assets, many of which are in developing or even frontier markets. The case discusses the complexities of investing in an atypical multidimensional asset.

Teaching objectives

To examine the potential risks and rewards of a farmland investment with strong potential ESG impact in a frontier country. To present a strategically relevant question on the immediate actions available to the asset manager upon a change in circumstances on the financing side. To assess the implications of this decision on the business and operating strategy.

Keywords
  • Private Equity
  • Africa
  • Agriculture
  • Responsible Investing
  • Impact Investing
  • Growth Capital
  • Farmland
  • Frontier markets
  • Q31314
  • GPEI
  • GPEI-Case