Agri-lending expert First Ag Capital has launched the Barrenjoey First Ag Credit Fund, expanding its footprint in the agricultural supply chain finance sector with a new high quality funding source alongside Barrenjoey Private Capital.

The Barrenjoey First Ag Credit Fund is a differentiated offering in the agricultural supply chain finance sector, and will allow borrowers to access high-quality capital with bespoke structures that enables farmers and processors to leverage the value of their livestock, grain or milk— rather than relying on traditional land-backed loans.

First Ag Capital, established in 2019, specialises in high-value supply chain financing, typically lending upwards of $15 million per customer.

Justin Harrison, Managing Director – Global Agribusiness

“Our approach reflects the evolution of agricultural finance into a more sophisticated, tech enabled industry,” said Justin Harrison, CEO of First Ag Capital. “By working with a forward thinking, long-term focused firm like Barrenjoey we can reach more clients to help them unlock greater value from their assets while streamlining their access to capital.”

CFO Lawrence Frawley added: “First Ag primarily offers three tailored funding solutions: borrowing base loans, repurchase facilities, and accounts receivable financing, which can be offered individually or in combination to suit specific circumstances.”

Michael Vardanega, Head of Private Capital at Barrenjoey, praised the First Ag team’s combined 50 years of financial expertise. “First Ag brings not only a deep connection with their industry knowledge, but also the kind of forward-thinking approach we value in our partnerships. We think the compelling solutions First Ag offers to the agri-business sector also present an attractive and differentiated investment profile for our investors, so it’s win-win.”

Mr Vardenega said that the close of the Fund demonstrated the alignment between both firms’ values and people. “At Barrenjoey, we believe our greatest asset is our people—something that resonates strongly in the agricultural community. We’re excited to bring Private Capital to a high-quality borrower segment in a primary sector that is so important to the Australian Economy.”

“We believe in working with the best, and that’s why we’re excited to support First Ag,” Mr Vardenega concluded.

About First Ag

Founded in 2019, First Ag was created to change the way capital flows to farmers and now occupies a unique position in the agribusiness funding market.

With the sophistication of a full service, trade and working capital finance provider, First Ag offers world leading financial services to high-quality operating businesses whose scale is unsuitable for smaller, specialist agri-finance providers but who find themselves underserved by the tiered structures of larger finance institutions.

With the sophistication of a full service, trade and working capital finance provider, First Ag offers world leading financial services to high-quality operating businesses whose scale is unsuitable for smaller, specialist agri-finance providers but who find themselves underserved by the tiered structures of larger finance institutions.

Lack of access to efficient working capital finance can impact the ability of our customers to grow and achieve their corporate goals. Financing can be expensive with few willing providers. As a result, agri-businesses may be forced to look at raising equity can itself be complex, inefficient and risky.

First Ag has a unique and competitive product set designed solely for this underserved market to provide working capital finance, improve balance sheet efficiency, reduce earnings volatility and assist in supporting growth and resilience in a key segment of the agribusiness sector.

About Barrenjoey Private Capital

Barrenjoey is a diversified Australian Financial Services firm that operates across six businesses, providing full-service capability across Equities, Research, Fixed Income, Corporate Finance (including Advisory & Capital Markets) and Private Capital.

The Barrenjoey Private Capital team manages over $4.5bn in assets, including the Barrenjoey First Ag Credit Fund, and minority stakes in Guzman Y Gomez and Rokt.