PAULOWNIA
BIO INNOVATION
FUND
Europe‘s Largest Paulownia
Carbon Farming Project
INVESTMENT CASE
Objective and Approach
-
CO₂ Removal and Timber Production: CCF invests in Paulownia tree short-rotation coppice plantations, absorbing carbon while producing high-value timber.
-
Dual Revenue Streams: Generates income through timber sales and issuance of CO₂ certificates.
Investor Needs
-
Carbon credit certificates are marketable for offsetting carbon footprints or retained forsustainable portfolios.
-
Diversification in investment portfolios with inflation protection and low correlation to other asset classes.
Market Opportunities
Timber Market
-
Market Size: Global timber and wood product market expected to
grow through 2050. -
The size of the global timber and wood product market was estimated at USD 591bn in 2021 and USD 626bn in 2022. It is projected to grow at a compound annual growth rate (CAGR) of 6.11%.
CO₂ Credit Market
-
Demand for CO₂ Offsetting: With regulatory pressures and the drive for global climate neutrality, demand for CO₂ credits is rising.
-
Forecasts: Market value of carbon credits projected to reach
$1.6 trillion by 2028.
PBI FUND STRUCTURE
Structure and Strategy
-
Fund Structure: A closed-end fund aimed at institutional investors, targeting European Paulownia plantations for carbon credits and timber.
-
Investment Strategy: Leasing land and invest in trees and operation of plantations to create sustainable revenue from timber sales and carbon certificates.
-
Target Returns: 20% IRR with a multiple on invested capital (MOIC) of 3.5.
Sustainability and ESG
-
EU Taxonomy Compliance: Fund meets stringent EU sustainability standards.
-
Classified and assessed as an SFDR Article 8 ESG fund.
RISK MANAGEMENT &
ENVIRONMENTAL STRATEGY
Risk Management
-
Prosperise Capital systematically identifies and prioritizes risks using targeted strategies (avoidance, transfer, acceptance) with continuous monitoring.
-
Our collaboration partner, bio innovation park Rheinland e.V., applies its agronomic expertise to address site- and cultivation-specific challenges.
-
In partnership with the University of Bonn, bioIP integrates advanced scientific insights to further enhance risk mitigation and ensure project resilience.
Environmental Strategy
-
Applies a certification mechanism specifically developed for Paulownia short-rotation plantations based on DIN EN ISO 14064-2 to precisely measure and verify CO₂ sequestration over the long term.
-
Integrates sustainable land use practices such as optimized water management, intercropping, and silvopastoral systems to boost biodiversity and improve soil health.
-
Implements continuous environmental monitoring and independent verification using advanced sensor technology and scientific insights to maintain transparency and enhance ecological outcomes.
-
The project meets SDG 13 (Climate Action) through precise CO₂ sequestration, SDG 15 (Life on Land) by enhancing biodiversity and soil quality, SDG 8 (Decent Work and Economic Growth) via sustainable job creation and regional development, and SDG 17 (Partnerships for the Goals) through strong collaboration between Prosperise Capital, bio innovation park Rheinland e.V..
TEAM AND PARTNERSHIPS
Experienced Management
-
Leadership: The team combines expertise in forestry, carbon markets, and financial asset management.
-
Plantation Management: ProsperiseCapital founded Prosperise Forestry Management as a fully owned subsidiary to handle forestry operations independently from asset Management .
Scientific and Professional Partnerships
-
Collaboration with bio innovation park Rheinland e.V. (bioIP): bioIP, a network for bioeconomy and green technologies in Germany, founded in 2015 by the University of Bonn in collaboration with 2 other universities, 50 companies, and 3 municipalities.
-
University of Bonn: Since 2008, the University of Bonn has been one of Europe’s leading institutions in researching, cultivating, and material utilization of Paulownia trees.
-
CO₂ Certification: Building on this expertise, bioIP developed a DIN EN ISO 14064-2 certified process for precise measurement, monitoring, and validation of CO₂ sequestration in Paulownia plantations.
-
Transparent, Sustainable & Profitable: Rigorous audits, data analysis, and integrated consultancy - including site assessment, planning, and management - ensure high project quality, transparency, and security while maximizing ecological and economic returns.
PAULOWNIA TREE & PLANTATION
PAULOWNIA TREE
-
Paulownia trees exhibit rapid growth, reaching up to a 30 cm trunk diameter in about 7 years while effectively sequestering CO₂ due to their high photosynthetic rate.
-
Their exceptional adaptability to various climates, high drought tolerance, and robust root system make them ideal for short rotation plantations that enable precise, certified CO₂measurement, optimize water use, and enhance soil structure.
-
Their versatile, lightweight, and stable wood delivers both ecological synergies and economic benefits by serving diverse industrial applications and promoting regional value creation.
Plantation
-
Target area: Europe. Initially in Romania (4,000 hectares with a density of up to 1,250 trees per hectare). This plantation is expected to sequester approximately 1.5 million tons of CO₂ over a 10-year rotation cycle.
CONTACT INFORMATION
About Prosperise Capital
Prosperise Capital, founded in London in 2009, is a global asset manager specializing in alternative investment strategies. Prosperise Capital is authorized and regulated by the Financial Conduct Authority (FCA) in the UK and is a registered investment advisor with the state of Florida, US.
We have offices in London (UK), Milan (Italy), and Miami (Florida, US)
Location
Prosperise Capital
1 Knightsbridge Green
London, SW1X 7QA
UK
Email: sales@prosperisecapital.com
Tel.: +44 (20) 7959 1200
Website: www.prosperisecapital.com