Target Information

PIANEL, an investor partner for poultry shelter projects developed by NOVAFRANCE Energy, has successfully closed a €3 million bond issuance in collaboration with SMALT ENR. This funding is earmarked for the construction of 58 poultry shelters, each equipped with photovoltaic roofing, which aims to enhance the sustainability and efficiency of poultry farming in northwestern France.

The poultry shelters serve a dual purpose: they provide essential protection for birds against heat, harsh weather, and predators while simultaneously generating green energy through solar power. PIANEL has ambitious plans to construct between 200 and 300 such poultry shelters annually, with 220 already scheduled for 2023.

Industry Overview

The poultry industry in France is experiencing a significant transformation, driven by increasing consumer demand for sustainable and ethically produced food. This shift is prompting producers to adopt innovative practices that not only enhance animal welfare but also reduce environmental impact. The integration of renewable energy sources into farming practices is gaining traction and is seen as a vital step towards achieving sustainability goals.

Moreover, France is positioning itself as a leader in renewable energy production. Government policies and incentives are encouraging investments in solar energy, which complement agricultural advancements. The synergy between agriculture and renewable energy highlights a growing trend of agroforestry, which is increasingly recognized for its benefits in promoting biodiversity and ecological balance.

In this context, projects like those undertaken by PIANEL and NOVAFRANCE Energy reflect the industry's direction. The addition of agroforestry programs alongside the poultry shelters enhances the ecological aspects of the projects, making them more appealing to investors and stakeholders concerned with sustainability.

As France pushes towards achieving its climate goals, the poultry sector is likely to see continued investment in technologies and practices that align with green energy initiatives. The establishment of establishments like PIANEL marks a significant contribution to this movement, indicating a robust future for the renewable energy sphere within agriculture.

Rationale Behind the Deal

The rationale behind the €3 million financing deal stems from the pressing need for poultry farms to adapt to modern sustainability standards and regulations. The investment will enable PIANEL to accelerate the construction of energy-efficient poultry shelters which align with both animal welfare and environmental protection.

This financing model provides the flexibility needed for smaller-sized projects, which often face challenges securing funding in the traditional banking landscape. By securing this funding, PIANEL can complete the initial construction and subsequently seek long-term refinancing through senior bank financing, ensuring ongoing project viability.

Investor Information

SMALT ENR is a specialized fund launched by Smalt Capital in October 2022, focused on financing renewable energy projects. With a keen interest in sustainable initiatives, the fund aims to support businesses like PIANEL in realizing their growth and sustainability objectives.

The team's expertise in flexible and tailored financing solutions is showcased in this partnership. Amaury Schoenauer and Maxime Hannedouche, representatives from SMALT ENR, have highlighted their commitment to providing responsive and adaptive financial support, ensuring that the unique needs of their clients are met effectively.

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The investment made by SMALT ENR in PIANEL represents a strategically sound decision, aligning well with the growing trends in sustainable practices and renewable energy adoption in agriculture. This partnership holds the potential for significant returns, both financially and socially, given the increasing demand for eco-friendly poultry farming methods.

Furthermore, SMALT ENR’s flexible financing approach addresses a gap in the market for smaller project funding, allowing PIANEL to scale its operations efficiently. This tailored support is essential in a sector where conventional financing may not always be available for ambitious projects.

As the poultry industry continues to evolve and embrace sustainability, projects such as those proposed by PIANEL are well-positioned to attract further investment and support. This initial funding is likely to lead to more extensive collaborations between innovative agricultural practices and renewable energy developments.

Overall, this deal is advantageous for all parties involved, representing a forward-thinking partnership that emphasizes the importance of sustainability within the agricultural sector, making it a sound investment opportunity.

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