February 23, 2023

By Lynda Kiernan-Stone, Global AgInvesting Media

Sustainable ag and food investor Cibus Fund II has acquired Alba Trees Limited, a sustainable forestry nursery founded in 1988, for an undisclosed sum. 

Based in East Lothian, Scotland, Alba Trees is pioneering the supply of cell-grown trees for the forestry sector. Since its founding, through expansion and re-investment, the company has grown to now supply about 20 million trees for planting each year to the UK forestry market for placement in forests, native woodlands, and hedgerows.

For the past 15 years, the company has been owned by Buccleuch, which is managed by the Duke of Buccleuch, and has been part of a broader forestry portfolio overseen by head of forestry, Jim Colchester, who is a current Board member for Alba Trees. 

“Our new partnership with Cibus marks an exciting  step in our growth journey,” said Craig Turner, CEO, Alba Trees. “The firm’s expertise and strong experience investing in agriculture and agtech will enable us to scale our business, embrace technology and to continue to invest in plant health.” 

Cibus and Alba share a common core focus on environmental sustainability and ensuring its addressed throughout the entire supply chain. Together, Cibus and Alba Trees will continue to expand Alba’s existing production with a focus of best-in-class agronomy technologies that prioritize plant health, product quality, and resource efficiency. 

As a specialist in agtech and controlled environment agriculture (CEA), Cibus is in a position to be able to leverage synergies with other of its existing portfolio companies to drive growth plans that align with the UK Government’s bold plans to plant nearly a million hectares of new woodland as a means to achieve net-zero greenhouse gas emissions by 2050. 

“Our partnership with Alba Trees brings an exciting addition to the Cibus portfolio,” said Rob Appleby, founder and CEO, Cibus Capital LLP, investment advisor to the Cibus funds. ”Cibus invests in companies which prioritize decarbonisation, promote sustainable forestry, woodland creation and biodiversity. Alba Trees is an industry leader in this sector, providing farmers and landowners with the tools to achieve superior commercial returns and  climate resilience.” 

As climate change continues to intensify along with pressure to take action, planting trees has become a key measure to mitigate the effects. The UK government sees this not only as a reason to establish new woodlands, but a way to increase the domestic supply of timber. 

In August 2022, the Department for Environment, Food & Rural Affairs, Forestry Commission, and The Rt Hon Lord Goldsmith released an announcement outlining £44.2 million (US$53 million) in first-year funding for England’s 13 Community Forests and woodland creation partners to plant millions of trees nationwide. 

As part of the Government’s £750 million (US$900 million) Nature for Climate Fund, these projects will collectively plant about 2,300 hectares (5,683 acres) of trees as part of the first year’s allocation, which are estimated to absorb 600,000 tons of carbon dioxide, valued at nearly £100 million (US$120 million), by 2050. 

“Our economies, livelihoods and wellbeing all rely on nature,” said Lord Zac Goldsmith, Forestry Minister, in August 2020. “As well as tackling the impacts of climate change and biodiversity loss, this significant funding will create diverse treescapes across the country and improve the health and wellbeing of local communities by giving them more opportunities to enjoy nature on their doorstep.”

And a key player in the sector is Alba Trees. 

“Alba plays a prominent role in the UK forestry sector and is a large-scale contributor to biodiversity and natural capital projects,” said Tom Ritchie, investment director, Cibus Capital.

“We look forward to working with Alba to harness the benefits of cell-grown trees and to maximize the company’s future potential.” 

~ Lynda Kiernan-Stone is editor in chief with GAI Media, and is managing editor and daily contributor for Global AgInvesting’s AgInvesting Weekly News and  Agtech Intel News, as well as HighQuest Group’s Unconventional Ag. She can be reached at lkiernan-stone@globalaginvesting.com.

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