15 August 2024, Nairobi/The Hague/Amsterdam – Pepea, an impact investment fund from Oxfam Novib managed by Goodwell Investments, is pleased to announce its first-ever investment: Gaea Foods Limited (“Gaea”), a potato-processing company targeting the B2B market, based in Nairobi, Kenya. The fund is investing in Gaea in the form of venture debt, providing working capital to allow the company to better meet demand from new and existing customers. By improving local value chains, enhancing smallholder farmers’ incomes and empowering female stakeholders, Gaea exemplifies the type of organisation Pepea aims to support. 

Launched in 2023, Pepea caters to the specific needs of early-stage companies in East Africa by investing in businesses that struggle to secure finance from banks and investments funds to accelerate their growth. Aimed at small- and medium enterprises (SMEs) with high potential to create positive impact, the EUR 20 million fund leverages the complementary strengths of Oxfam Novib and Goodwell Investments to support young companies that are contributing to a greener, fairer, and more inclusive society.   

Over the past year, the Pepea investment team has reviewed hundreds of investment proposals from East Africa and built up a healthy investment pipeline, leading to the fund’s first investment: Gaea Foods Limited. The company was founded in 2009 by CEO and Managing Director Irene Mwangi, who has over 20 years of experience in the potato processing sector and strong connections throughout the industry, from B2B buyers to potato farmers and aggregators. She runs the company with two other directors, including her sister Roseanne Wanjiku, who oversees the company’s waste management and bioconversion processes. 

Managing Director Irene Mwangi commented that “My entrepreneurship journey started two decades ago and has been very dynamic ever since. This investment gives Gaea Foods the ability to keep evolving and source from more smallholder farmers. The work we do allows us to contribute to developing the economy, create jobs and improve the farmers’ quality of life. We are looking forward working closely with Goodwell and Oxfam Novib to benefit from their knowledge and expertise in SME development.” 

While Gaea initially traded in whole potatoes, the company later transitioned into processing, supplying peeled and cut potatoes to leading fast-casual restaurants in the Nairobi area, including Steers and Nando’s. Every step of the way, Gaea has demonstrated a strong commitment to making a positive impact. “Gaea Foods is a showcase for Pepea’s ‘fair, green and inclusive’ investment mandate. The company is led by a female founder and 70% of the company’s staff are women. Gaea has an established supply chain of small-holder farmers across Kenya, and practices sustainable waste management practices like converting potato peelings into fertilizer and animal feed,” explains Anne Ngugi, Senior Investment Manager at Goodwell. The investment from Pepea will enable Gaea to further grow their business, including doubling their workforce from 20 to 40 employees in the coming year.  

Because the fund focusses on investing in female leaders with the aim of contributing to a more equitable and inclusive ecosystem, the Pepea team is especially pleased that the fund’s first investment is going to a female-led and female-owned company. Tamara Campero, Investments Manager at Oxfam Novib, observed that “We are excited to announce our first investment! A year ago, when we introduced Pepea, we emphasized the fund’s focus on green, gender-forward investments. Our Impact SME Development Program has shown that female entrepreneurs are more likely to create a gender-balanced workforce and provide decent work conditions for their staff. By investing in Gaea, a company that is female-owned, Pepea is not only supporting these values, but is also improving local value chains and empowering smallholder farmers.” 

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For additional information and interview requests, please contact Liz Keel, Marketing and Communications Manager at Goodwell Investments: liz@goodwell.nl 

About Gaea Foods Limited 

Gaea Foods is a pioneering female-led business focused on Kenya’s potato value chain. Initially founded as a sole proprietorship, the company has evolved from a potato trader to a leading potato processor with a vision for expansive growth. Sourcing from a growing network of smallholder farmers, Gaea Foods processes and sells fresh potato products (like chips, cubes, and wedges) to B2B customers, including major quick service restaurants and schools. Their business model is rooted in developing a robust potato value chain, strengthening partnerships with smallholder farmers and uplifting rural farming communities. 

About Oxfam Novib   

Oxfam Novib stands behind the people who stand up for equality. Together, we fight for a world where everyone has equal opportunities, regardless of gender, ethnicity or skin colour. A world where everyone feels safe; where income gaps are shrinking instead of growing; where climate change is tackled in a firmer and more honest way.    

Learn more at www.oxfamnovib.nl 

 About Goodwell Investments  

Goodwell Investments is a pioneering impact investment firm focussed on inclusive growth in sectors providing basic goods and services and income generation opportunities to underserved communities in Africa and India. The firm provides early-stage equity to high growth, high impact businesses. With teams in Kenya, Nigeria, South Africa and the Netherlands and a track record of over 15 years, Goodwell demonstrates the ability to simultaneously deliver significant social impact and strong financial returns.    

Learn more at www.goodwell.nl