Vilnius-based sustainable agri-finance marketplace HeavyFinance has raised a €3 million seed round to fuel an expansion and double its head count.
The round was led by VC firm Practica Capital.
HeavyFinance’s marketplace provides financing and loan schemes for SMEs practicing or providing tools for sustainable agricultural practices. The more impactful the project the better the finance rate.
“HeavyFinance team is committed to transforming the traditional agricultural lending marketplace by incentivising farmers to adopt sustainable and regenerative farming practices by providing them access to the necessary capital,” says Arvydas Bložė, Partner at Practica Capital.
“By connecting farmers in Europe directly and introducing a proprietary soil-based carbon credit methodology, we anticipate creating a new channel for downstream corporates to offset their carbon credits and stimulating institutional capital investments in the green sector,” says Bložė.
Aside from plans to double the already 33 headcount and expand further afield - it currently operates in Poland, Portugal, Lithuania, Latvia and Bulgaria - HeavyFinance also plans to enrol 200,000 hectares of regenerative farmland as part of a carbon farming initiative, offering businesses the opportunity to offset their carbon footprint.
“After a successful seed round, HeavyFinance is ready to continue its expansion in the European marketplace, delivering sustainable climate investments to even more investors. Operating in additional markets and expanding our investor suite is an important step in the company’s growth and the development of new products and schemes, alongside bringing in industry experts to support our journey will be a priority over the coming months,” says Laimonas Noreika, founder of HeavyFinance.
“Tackling climate change must be a united effort, and with almost a third of global greenhouse emissions coming from agricultural products, HeavyFinance is here to lead the charge in the agricultural sector. Food growth plays a vital part in the climate battle as a prominent global issue, and connecting investors with farmers and agricultural specialists through our finance platform can help accelerate the adoption of regenerative soil management practices to reduce carbon emissions output throughout Europe.”