Saffery advises ADM Capital Europe’s Cibus Enterprise Fund

Withholding Tax

Saffery’ London Corporate Finance Team provided financial due diligence services to The Cibus Enterprise Fund in respect of its investment in Aquapak, a manufacturer and supplier of environmentally friendly biodegradable plastic polymers.

Founded in 2011, Aquapak is a market leader in researching, manufacturing and supplying biodegradable plastic polymers. Unlike other polymers, Aquapak’s HydropolTM (Hydropol) is non-toxic in both the marine environment and on land and it can be used to create new recyclable and environmentally-safe packaging with a diverse range of end-of-life options. The polymer can be used in a wide range of applications such as bags for infection control, laundry bags, garment bags, fill & seal packaging, food waste (AD) collection bags, aprons, gloves and pet food bags. Aquapak operates from a purpose-built, 500,000 sq ft compounding production facility in Birmingham, UK.

Alastair Cooper, Head of Venture Investing at ADM Capital Europe, says: “The Cibus Enterprise Fund invests in a number of disruptive food technologies and in Aquapak we see a company that can revolutionise food packaging significantly improving the ‘end of life’. Aquapak’s customers are companies who share a vision for more sustainable packaging solutions on a global scale. Hydropol has been designed to help combat single-use plastics and hydrophobic polymers contaminating the natural environment, without compromising on quality and product functionality. We believe that Aquapak has developed a practical alternative to conventional plastics, and a game-changing technology in the global effort to reduce plastic pollution. As a truly scalable, biodegradable, water-soluble, and highly functional material, Hydropol looks set to revolutionise the plastics & packaging industry and drive the transition to a more circular economy.”

Mark Lapping, CEO of Aquapak, says: “We are delighted to have Cibus as a new investor in Aquapak at this exciting time in the growth of the company. With Cibus’ support, we look forward to accelerating the development of Hydropol into a platform technology which can bring a wide number of truly circular economy packaging solutions, over the coming years, to the global food sector, and beyond.”

The Cibus series of funds were launched in May 2017 and now collectively amount to over $512 million. The Cibus Fund has a global mandate to invest in sustainable food and farming. The Cibus Enterprise Fund invests in disruptive venture companies that are transforming food production. The Funds see significant investment opportunities presented by global demographic changes, shifting regulatory and consumption patterns and the inability of the world’s fastest growing economies to meet rapidly increasing regional demand for high-value foods. In October 2018, The Cibus Fund was the first fund to be given ‘Guernsey Green Fund’ status by the Guernsey Financial Services Commission, in recognition of the fact it regards environmental sustainability as a key determinant of value creation.