Ocean 14 Capital expands seafood investment fund past its EUR 150 million target

Ocean 14 Capital, a fund devoted to investing in companies working to achieve U.N. Sustainable Development Goal 14: Life Below Water, has surpassed its original EUR 150 million (USD 164 million) target.

The fund, founded in 2019, is a partnership between Pontos Aqua, the Blue Marine Foundation, and Vedra Partners advised by scientists, marine biologists, and impact investors. The fund works to invest in companies innovating in the fields of sustainable aquaculture, sustainable fisheries, alternatives to fish protein, seaweed, and circular plastics.

On 1 August, Ocean 14 announced it received a EUR 20 million (USD 22 million) investment from insurance company Convex, along with EUR 10 million (USD 11 million) in investments from family offices and high-net-worth individuals, bringing its total available funding to EUR 160 million (USD 175 million). In the same announcement, Ocean 14 said it now has a new goal of surpassing EUR 200 million (USD 219 million) by the end of 2023. 

“The fact that the Fund has surpassed its initial goal of [EUR] 150 million shows how important this issue has become to so many people globally and how highly the Fund is thought of,” Ocean 14 Capital Co-Founder Chris Gorrell Barnes said in a release.

The new investment follows up another EUR 30 million (USD 33 million) investment from the investment arm of the world’s largest Ikea franchisee.

Along with the increased funding, Ocean 14 announced it signed an investment of up to EUR 10 million (USD 10.5 million) in Ava Ocean, a Norwegian company developing a type of precision scallop harvesting.

Ava Ocean was granted the first license to harvest scallops in Norway in nearly 30 years, after developing a new non-invasive harvesting gear for bottom-dwelling seafood – such as scallops and sea cucumbers. An advanced water flow system and cameras using AI allow the devices to precision-target seafood for harvest, allowing any smaller specimens or bycatch to remain on the seabed undamaged.

“We believe that the Fund’s strategic investment in Ava Ocean is significant,” Barnes said. “The global export market for scallops is worth an estimated [USD] 2.5 billion [EUR 2.2 billion], but most of the scallop fishing industry uses dredging methods which have a devastating effect on seabed ecosystems and biodiversity. The technology developed by Ava Ocean can be rolled out on a global scale and could put an end to harmful seabed practice forever.”

Ava Ocean CEO Øystein Tvedt said the new funding from Ocean 14 will allow the company to embark on the “next chapter” of its development.

“The global potential for our solution is immense, and we are excited to be able to explore international opportunities with the support of the Ocean 14 Capital Fund,” Tvedt said. “They share our unwavering belief in bringing about real change through innovation and collaboration, and with their expertise in the global blue economy bring invaluable know-how ahead of this next phase for Ava Ocean.”

Ocean 14 Capital said the investment in Ava Ocean puts the fund on track to grow its portfolio to between 20 and 25 businesses within three years. The fund has invested in a number of seafood companies, including investments in The Kingfish Company,  Aker BioMarine’s subsidiary Aion, Brazilian tilapia farmer Tilabras, European clam breeder and hatchery MITO, and Singapore-based genetics company SyAqua.

“Over the next few years, the Fund aims to invest in many more companies that are all playing a part in saving the oceans,” Barnes said. “We want the blue economy to become mainstream as ocean health has a direct positive impact for consumers and commerce globally.”  

Photo courtesy of Ocean 14 Capital/Ava Ocean