Brasil Agro (Brazil) Sub-sector: Agribusiness Investment type: Greenfield

BrasilAgro was established through a partnership with IRSA/Cresud and Mr. Elie Horn (Cyrela) aiming at providing superior risk-adjusted returns through a combination of maximazing agricultural yields coupled with capturing land price appreciation by turning over the land.

The real estate approach considers acquisition of large areas of undeveloped or distressed farmland with appreciation potential and/or with a profitable crop conversion strategy for developing properties. On the agricultural yield, the portfolio strategy is to diversify through different locations and crops such as sugar cane, soybean, corn, cotton, eucalyptus forest and cattle raising.

BrasilAgro combines proven management practices based on long and successful track record of agricultural development, expertise in the Brazilian real estate market and knowledge of financial markets with extensive experience in risk management.

The company made its IPO in May 2006 and raised US$270 million which is being used in the acquisition and development of the farmland.

As a founding sponsor Tarpon received warrants to buy additional shares of BrasilAgro at the IPO price over the next 15 years and collects management fees in exchange of ongoing support and expertise.