#USA #San Francisco #Homestead Capital #Kudu Investment Management #U.S. farmland

Homestead Capital Partners with Kudu Investment Management

In a significant move for the agricultural investment sector, Homestead Capital USA LLC, a prominent asset manager with a focus on U.S. farmland, has joined forces with Kudu Investment Management, LLC. This partnership is designed to enhance Homestead's investment strategies and capitalize on the potential for growth in agricultural assets across the country.

Background of Homestead Capital

Founded in 2012, Homestead Capital manages over $1.6 billion in equity and credit assets primarily for pension funds, endowments, foundations, insurance companies, and family offices. Based in San Francisco, the firm specializes in acquiring high-quality farmland properties and serves as a lender to operators in the agricultural sector. With a majority employee ownership structure, Homestead is led by co-founders and co-CEOs Daniel Little and Gabe Santos, both of whom bring extensive experience to the company.

The New Partnership

As part of this collaboration, Kudu Investment Management has made a passive, minority investment in Homestead, although financial details of the arrangement have not been disclosed. Kudu, which offers permanent capital solutions globally since its inception in 2015, has a strong portfolio investing in various asset and wealth management firms across multiple regions including the U.S., Canada, the U.K., and Australia.

Little expressed enthusiasm about the partnership, stating that Kudu shares their belief in the positive long-term outlook for diversified U.S. agricultural assets. Santos echoed this sentiment, indicating that having Kudu's backing provides Homestead with a stronger position to expand its investments in the agricultural asset class.

Charlie Ruffel, Kudu's chairman and managing partner, praised the cultural fit between the two companies and highlighted Homestead’s expertise in managing farmland investments. He noted that agricultural assets are increasingly appealing to investors and are set for growth as interest rises in real assets.

Operational Insights

Homestead employs 20 professionals and operates primarily in key agricultural regions including the Pacific, Mountain West, Delta, and Midwest of the United States. The firm focuses on collaboration with small and mid-sized farmers, providing resources that enable improvements in their capacities and profitability.

The Broader Market Impact

Kudu’s investment strategy involves backing firms that manage a collective $128 billion in various investment strategies and market segments. With Kudu's involvement, Homestead is poised to leverage new opportunities and drive growth, reflecting a broader trend in the growing investor appeal for agricultural assets.

This partnership signifies a strategic alignment in values and vision, setting both firms up for success in an evolving market that increasingly recognizes the importance of sustainability and food security. For more information about Homestead Capital and its initiatives, please visit homesteadcapital.com and for Kudu Investment Management, check kuduinvestment.com.