IFACC 2023 Market Report

Closing date: December 2022 Disbursed amount: US$ 3.5 MM Partners: JGP Asset, Agrogalaxy, and Vert Capital Overview: Securitized agricultural receivables to fund a new program called “GreenGalaxy” that provides funding and technical solutions to help small and medium farmers transition to sustainable, low-carbon, and regenerative agriculture. The program aims to help farmers raise yields and expand production on already-cleared lands while avoiding deforestation and improving input use. Structure and terms: Reais-denominated Certificates of Agricultural Receivables (“CRAs”) with tenors of up to 40 months, with Agrogalaxy corporate guarantee. JGP acts as an anchor investor. Agrogalaxy provides their input receivables in the form of credit rights, that are structured into a securitization vehicle by Vert. Qualified as “transitional” by NINT Second Opinion. Expected impact: This initial product will include 10,000 hectares and up to 25 small and medium-sized farmers committed to zero deforestation and conversion in the Amazon, Cerrado, and Atlantic Forest biomes. Scale opportunities: By the end of 2023, the GreenGalaxy program intends to expand its coverage to 100,000 hectares and reach 2 million hectares by the end of the decade.7. JGP, AGROGALAXY AND VERT - GREEN GALAXY © Yurika Hidaka Cerrado amazon ifacc 2022 USD 3.5 MM 27 IFACC 2023 MARKET REPORT