By Gerelyn Terzo, Global AgInvesting Media
Private equity firm Mandala Capital has secured a landmark $36 million anchor commitment from the world’s largest dedicated climate fund, the Green Climate Fund (GCF). The investment turbocharges its $250 million target-size blended finance investment vehicle focused on climate adaptation in South and Southeast Asia’s food and agriculture sectors. With proven sector expertise, boots-on-the-ground teams, and a network of strategic partners, Mandala is primed to deliver resilient ecosystems alongside potentially compelling returns.
The GCF Board greenlit the proposal at its meeting earlier this month, forming part of a wider array of investments earmarked for vulnerable regions around the world. This approval cements Mandala’s role as a frontrunner in channeling resources toward resilient farming systems. Smallholder farmers in Asia confront mounting dangers, from unpredictable weather to droughts and fractured supply chains, in light of which the timing of this fund could not be more urgent.
Dubbed the Mandala Capital SSEA Food Program, the investment vehicle zeroes in on sustainable innovations. These include water-saving irrigation, tough crop strains and low-emission processing methods. The goal is to protect livelihoods while ramping up output in the face of climate pressures.
Mandala Capital’s SSEA Food Program, a Mauritius-domiciled blended finance vehicle totaling up to $250 million, channels equity investments of $5 million–$25 million into growth-stage SMEs across Southeast Asia’s food and agriculture value chains. Anchored by the GCF’s $36 million junior equity commitment, featuring first-loss protection, and a $10 million Technical Assistance Facility for capacity-building and grants, the fund is poised to mobilize up to $205 million in additional co-financing from development finance institutions (DFIs) and impact investors, a target the GCF deems achievable based on Mandala’s proven track record and early investor demand. Geographically, the program targets Indonesia, Thailand and the Philippines while also eyeing Vietnam and India.
The fund dives into fortifying South and Southeast Asia’s food and farming communities against climate change, channeling investments into practical innovations like weather-resilient seeds, sustainable protein options, and smart waste-to-value systems, strengthening the critical supply chains that feed millions. At its core, this strategy confronts the region’s biggest challenges, from low yields and massive food waste to price jumps, malnutrition, rising protein demands, and agriculture’s greenhouse gas impact, building scalable safeguards for smallholders while cutting carbon emissions.
“Mandala Capital is uniquely positioned to deliver climate resilience with strong returns…With this anchor investment secured, Mandala is now raising its blended-finance fund to mobilize private capital and deliver real impact with strong returns,” the firm stated in a LinkedIn post. It draws on years of hands-on expertise in the sector, while local teams and a solid network of partners further strengthen its edge across the region. Headquartered in Singapore, with roots in Mauritius, Mandala specializes in impact-oriented private equity for agri-business and food.
The GCF provides a powerful spark. Its $36 million capital infusion, split as $35 million in equity and $1 million in grant funding, is expected to catalyze investments from private backers. Mandala is now in full fundraising mode to lock in the balance.
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