Location

Vietnam and Singapore

Investor

Singapore based private equity firm

Investment

RYNAN Technologies, to supply Vietnamese farms with RYNAN's products and equipment.

Investment Size

Just below 5 million USD

Impact

Reaching over 50 provinces and 10,000 farmers, and certain products reducing emissions up to 60%, minimizing fertilizer by 40-60%, and increasing crop yields by 10%.

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A private equity firm headquartered in Singapore sought to expand its impact investing initiatives. Their impact fund followed a double bottom line approach, emphasizing both financial profitability and social impact. Specifically, their focus rested on identifying and supporting burgeoning enterprises that have the potential to generate positive social outcomes for the 'Base of Pyramid' population in Southeast Asia and China (individuals living on less than USD 5.50 per day).

In this context, RYNAN emerged as a promising investment opportunity due to its commendable contributions to low-income communities. RYNAN is a tech innovator that focuses on research and development (R&D); production and commercialisation of agricultural traceability solutions, Internet of Things (IoT) devices, and advanced agriinputs. Its main R&D and manufacturing facilities are located in Tra Vinh, Viet Nam.

Following a comprehensive analysis that encompassed investment screening procedures and due diligence measures, the private equity firm made the strategic decision to inject just under USD 5 million into Rynan.

This investment injection has significantly strengthened RYNAN's financial footing, paving the way for the creation of groundbreaking solutions and enhancing accessibility for marginalized farmers in rural Vietnam. The infusion of nearly USD 5 million facilitated the expansion of RYNAN's product reach to more than 50 provinces, garnering the active involvement of close to 10,000 farmers in utilizing the innovative agriculture application. Notably, RYNAN's inventive fertiliser, distinguished by its environmentally sustainable polymer coating, has exhibited remarkable advantages. It has demonstrated a remarkable capability to slash greenhouse gas emissions by up to 60%, reduce labor expenditures, curtail fertilizer consumption by 40-60%, and potentially elevate crop yields by over 10%. As a result, farmers have witnessed a considerable surge in their incomes, with some experiencing a doubling of their earnings compared to pre-Rynan agricultural input utilisation.

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This case study was taken from Grow Asia. Read the full case study on their website.