December 29, 2016

Just as 2016 draws to its close, Dutch, pure-play sustainable aquaculture investment fund, Aqua-Spark, announced two investments in Madagascar and the U.S.

Sea Cucumber Farming in Madagascar

Madagascar-based sea cucumber farming operation, Indian Ocean Trepang, joins the Aqua-Spark portfolio as the fund agrees to invest $2.75 million in the business.

Considered a delicacy in many Asian markets, sea cucumbers are in high demand from increasingly affluent consumers. Additionally, the species are what are known as ‘deposit feeders,’ or an aquatic animal that feeds on organic matter that drifts through the water, settling on the bottom – meaning they have the ability to clean the environment while not requiring any additional feed. Furthermore, the species can be used in land-based aquaculture operations to mitigate effluent – all attractive factors to investors. However, for Aqua-Spark, which has existing investments in land-based fish farms Sogn Aqua and Matorka, the addition of such a company to its portfolio represents an intriguing prospect for potential scale and growth through cross-application.

“They are at once helping to revive an endangered marine animal and providing a sustainable filtering method for fish farms, while also creating jobs in key markets,” explains  Mike Velings and Amy Novogratz, co-founders of Aqua-Spark. “We’re thrilled to be working with such an impactful company, and connect them with our network of farms and technologies.”

Possibly more importantly, Indian Ocean Trepang is the only exclusive global licensee for a patent on in-vitro fertilization of the Holothuria scabra sea cucumber species – a species that has been listed as endangered and is included on the Red List of the International Union for Conservation.

“An investment in Indian Ocean Trepang is an investment in the future of sustainable fish farming and the survival of this species,” says Velings and Novogratz.

Aqua-Spark’s investment will help support the further growth of Indian Ocean Trepang’s breeding program through its allocation to fund a new site that will help position the company to become the top sea cucumber grower in the world. With 168 current employees, the company aims to expand to multiple locations across a range of countries.

“We are thrilled to partner with Aqua-Spark, with whom — from the first moment we started an exchange — we found a team of experts and professionals who have a long-term view and understanding of aquaculture,” explains Thibault Giulioli, CEO of Indian Ocean Trepang. “With support from Aqua-Spark, we look forward to implementing our vision and rolling out our business model throughout the Indian Ocean.”

Seafood Kits in the U.S.

Aqua-Spark has also announced its first reach in the consumer market with  an investment of $2.5 million in LoveTheWild, a U.S.-based producer of sustainable, ready-to-prepare, frozen seafood meal kits. The company has a double mission – to take the intimidation factor out of preparing seafood dishes and to encourage consumers to broaden their choices beyond traditional choices such as salmon to more sustainable, environmentally friendly species such as barramundi or striped bass.

“Responsible aquaculture has the potential to fight some of the most serious challenges we face as a planet, and will be made or broken by consumer perceptions about seafood,” explained Jacqueline Claudia and Christy Brouker, co-founders of LoveTheWild. “Our goal isn’t just to offer sustainable seafood, but to make it the most exciting and in demand consumer protein.”

Currently the company’s kits are produced with 60 percent farmed fish and 40 percent wild-caught fish. However, with Aqua-Spark’s guidance, the eventual goal is for the company to shift production to 100 percent farmed fish without the use of antibiotics or chemicals.

To achieve this, Aqua-Spark will help the company strengthen the criteria and systems it uses to select and monitor farms with the goal of securing the highest level of sustainable seafood for its business.

“We share the same values when it comes to protecting ocean species and giving people access to delicious, healthy, and sustainable fish so they can eat more fish and reap the benefits from doing so without compromising our planet,” explains Mike Velings and Amy Novogratz, founders of Aqua-Spark. “In addition, with their dedication to transparency, LoveTheWild takes the guessing out of sustainability and showcases well-farmed fish.”

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Lynda Kiernan