Venture Impact Investing Good for the Planet, Good for People. Inspiring Change. Caring for Creation.

Transcription

1 Venture Impact Investing Good for the Planet, Good for People Inspiring Change. Caring for Creation.

2 Transformational Engagement A Rocha is transforming people and places through Community based conservation projects, environmental education programs, and sustainable agriculture initiatives.

3 LEBANON - Before

4 LEBANON - After

5 I am afraid it is terminal you have humans!

6

7 Venture Impact Investing Good for the Planet, Good for People Inspiring Change. Caring for Creation.

8 marketplace.regent-college.edu Sustainable Enterprise? Paul Williams David J. Brown Chair of Marketplace Theology and Leadership and Executive Director, Marketplace Institute Regent College, UBC 1 November 2012

9 Sustainable Development development which meets the needs of current generations without compromising the ability of future generations to meet their own needs Brundtland Commission (UN World Commission on Environment and Development), 1987

10 The Social Ecology of Modern Capitalism

11 CSR and TBL Is the Triple Bottom Line Rising energy costs Energy efficiency gains Sustainable? Greenwashing The profit-maximising model Profit or not-for-profit?

12 UN: we need a revolution in business Developed countries have the wealth and technical capacity to implement more sustainable policies and measures, yet the required level of political leadership and citizen engagement is still a long way off. The lack of action in developed countries is compounded by economic growth in developing countries that follows the resource-intensive model of developed countries. Without change and real action to address levels of consumerism and resource use in developed countries, one can hardly expect a receptive audience among developing countries when attempts are made to direct attention to their economic development practices. More sustainable development pathways are needed in both developed and developing countries; which require a level of dialogue, cooperation and, most importantly, trust that simply is not reflected in today s multilateral institutions or regimes. There is a huge gap between the multilateral processes, with their broad goals and policies; and national action, which reflects domestic political and economic realities. A huge constituency around the world cares deeply and talks about sustainable development, but has not taken serious on-the-ground action. Deep structural changes are needed in the ways that societies manage their economic, social, and environmental affairs; and hard choices are needed to move from talk to action. While some would argue that we have failed on sustainable development, 20 years is a relatively short time frame to implement the required changes in such a daunting area. The needed systemic changes will require a revolution in the way the world does business. Sustainable Development: From Brundtland to Rio 2012, United Nations, 2010

13 More than Profit Sustainable Enterprise as a bottom-up revolution a huge opportunity for Christians: Product Innovation Process Innovation Cultural Innovation Business is a primary source of solutions for our contemporary environmental crisis. Moral leadership in business has the capacity to transform the culture of capitalism

14 Investing for More than Profit November 1, 2012

15 Venture Impact Investing Growing breakthrough businesses in East Africa Serving proven demand at the base-of-thepyramid Innovate business models & adapt technology to: Widen access Reduce cost and price Improve quality Venture capital returns

16 Example Investments Bridge International Academies Access to education (one of the first external investors) 4AFRI Media Access to information (seed and expansion capital; first external investors) Paradigm Kenya Fuel efficient cook stove distribution, improving health, household economics and emissions (largest shareholder) Gerum Motors Assembly, distribution and financing of low-cost mobile business platforms in Ethiopia

17 Investing in Primary Education State School System 3 rd percentile pupil achievement Universal free education is NOT free ($2-5/month) 30-50% of instruction time lost due to teacher absenteeism & neglect No accountability to parents A $40 billion global market For-profit $4 per month Pupils outperforming peers by 100% in literacy and 25% in math skills 84 schools serving 27,000 students at end September; 1,100 employees Opening 45 new schools in Jan 2013 Target: 10 million students June 2009 investment valued at 5.5x in June 2012 Series C financing

18 Investing in Mobile Information Access Google & Craigslist (Addis Ababa) < 5% Internet penetration Lost time Information asymmetry Yet there are c. 500 million mobile phones in Africa Mobile phone is the computing platform of choice Information/content portal on the mobile Built and launched multiple applications: e.g., health management, job search, news Added 5 million users in 10 months Pursuing geographic and related business expansion investment valued at x in draft term sheets for next round financing

19 Investing in Energy Efficient Stoves Traditional Stove Up to 35% of household income spent on wood or charcoal hours/week foraging for wood Respiratory ailments causing 1.9 million deaths per year globally Fire hazard; 300,000 deaths per year Deforestation/environmental damage 50% saving on fuel (time & money) Reduce smoke & toxins by 75% Local (Kenya) contract manufacturing Target sales: > 1 million stoves; first year sales 1.7x plan Pre-sold carbon offsets > 20% projected IRR

20 Investing in Mobile Business Platforms Addis Ababa Taxi 4 motor vehicles per 1000 population; 130 th out of 134 countries Highly concentrated vehicle ownership Auto rickshaws banned from Addis Poor, unmetered taxi service Licensed garbage collectors: broom and push cart Proprietary vehicle designs: taxis, garbage collectors, mobile kiosks, ambulances, delivery vehicles Simple assembly in country 33% cheaper than existing taxis; 4 5x better fuel efficiency Generating income, asset ownership & credit history among BoP > 40% projected IRR

21 Thank You

22 Venture Impact Investing Good for the Planet, Good for People Inspiring Change. Caring for Creation.

23 Brooksdale Environmental Centre th Ave., Surrey, BC

24 Thank You!

25 Training Young Scientists

26 Inspiring School Children

27 Growing Food for Families

28 Impact 10,000 children & visitors inspired 15,000 meals served 30 interns trained 4,000 m 2 of habitat restored 20 conservation projects completed 500 churches engaged 75 community gardens planted 30,000 lbs. of organic vegetables grown

29 Our Mission A Rocha is an international Christian organization which, inspired by God s love, engages in scientific research, environmental education and communitybased conservation. Our Values Christian Conservation Community Cross-cultural Cooperation

30 Video What does A Rocha Really Do?