Calvert Social Investment Foundation Invests USD 5 million in eco.business Fund to Conserve Natural Resources and Biodiversity in Latin America
The US institution becomes the fund’s first investor in subordinated notes
Luxembourg and Bethesda, Maryland, 14 August 2017 – Calvert Social Investment Foundation has closed a USD 5 million investment in the eco.business Fund to further strengthens the fund’s ability to support sustainable business practices in Latin America in an effort to preserve natural resources and biodiversity and fight climate change.
The eco.business Fund offers loans to qualified financial institutions in Latin America that, in turn, on-lend fund money to businesses using environmentally sustainable practices in the sectors of agriculture, forestry, fishing, and ecotourism. Calvert Foundation’s investment, a purchase of subordinated notes, demonstrates the fund’s capacity to attract an increasing number of private investors by offering multiple investment instruments.
Calvert Foundation is a global impact investing institution that invests in organizations, projects, and funds that work in social and environmental impact sectors, including renewable energy and environmental sustainability.
Eco.business Fund Chairman Jens Mackensen said: “We are very pleased Calvert Foundation is investing in our ongoing work in Latin America. Our support of biodiversity preservation and sustainable business practices in the region is conserving natural resources while mitigating climate change and helping businesses there adapt to its impact.”
From Calvert Foundation, Kevin Fanfoni, the lead Investment Officer on this deal said: “It is increasingly important that we finance efforts to combat climate change and the eco.business Fund provides us with the opportunity to efficiently and effectively do so. We are excited to grow our portfolio exposure in emerging economies across Latin America, where we see market opportunities in the environmental sustainability space.”
About the eco.business Fund
The eco.business Fund is spearheading the promotion of business practices that contribute to the preservation of biodiversity, the sustainable use of natural resources, and climate change mitigation and adaptation through private enterprises. By providing financing for business practices that conserve nature and foster biodiversity, the fund seeks investments with both financial and environmental returns. The fund mainly provides loans to qualified local financial institutions that lend the money to eligible borrowers, which include holders of recognized certifications or those making improvements in line with conservation and biodiversity goals. The fund supports sustainable operations in the sectors of agriculture, fishery, forestry, and eco-tourism.
The eco.business Fund leverages contributions from donors, multilateral organizations, and development finance institutions and funding from private investors to maximize outreach and impact. Seed capital was provided by the German Federal Ministry for Economic Cooperation and Development, and by the German Development Bank KfW acting as main sponsor. Finance in Motion, a leading impact investing company, is also an investor.
Operating hand-in-hand with the eco.business Fund, the eco.business Development Facility provides high-impact technical assistance to local lending institutions and final borrowers.
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About Calvert Foundation
Calvert Social Investment Foundation harnesses the power of investing to connect, cultivate, and inspire those who want to shape the world for good. Through its flagship product, the Community Investment Note, Calvert Foundation has raised over USD 1.5 billion from more than 18,000 investors, which has been invested in hundreds of organizations, projects, and funds that are making a positive, measurable impact around the world. Alongside this, Calvert Foundation is forging new partnerships, incubating innovative ideas, and sharing knowledge to grow the impact investing movement. More at www.calvertfoundation.org.
Media contact eco.business Fund
Tel: +49 (0) 69 271035-127
Media contact Calvert Foundation
Tel: +1 202-774-8933