New farmland investment opportunity set to raise up to 20GBP million
Brooks Macdonald Funds (BMF) has launched UK Farming plc, a new asset backed UK farming business. BMF also appointed Christine Tacon as Chairman of the new business and Andrew Christie-Miller as a Non-Executive Director.
Christine was Managing Director of The Co-operative Farms Limited from 2000 to December 2011 and was an executive board member of Co-operative Food Retail. She brings a wealth of experience in the farming industry to UK Farming plc.
Andrew Christie-Miller was Deputy Chairman of Openfield Group until July 2010, a company which handles 4 million tonnes of grain annually. He has had considerable experience in land and estate management having qualified as a Chartered Surveyor with Savills in the late 1970s and has farmed for many years on his own account.
UK Farming plc, which is seeking an initial raise of up to £20 million, is an unquoted public limited company targeting investment in existing arable farms. The land will be farmed by established contractors for the company for the production of cereal crops, taking advantage of their demand for both food and, potentially, bio-fuel production.
Savills1 predicts a 36 per cent increase in the average value of farmland in the five years from 2012 in its Agricultural Land Markets Survey 2012. This forecast growth follows a substantial rise in average farmland values over the past five years (138 per cent) which was significantly greater than that recorded for either residential or commercial property or equities.
Christine Tacon, Chairman of UK Farming plc, commented: "We are delighted to be offering this new farmland investment vehicle which we expect to attract new investors to farming. Farming is an industry of increasing interest and, though subject to many external market forces, one that with sound commercial management can prove a sustainable long term investment."
UK Farming plc has engaged Chesterton Humberts to seek land to acquire. Once acquired, the land will be farmed by the Company to produce, predominantly, cereal crops.
