Three Hills makes first deal from impact strategy with Hispatec

Hispatec is a software and agricultural tech provider for the speciality crops segment.

  • Hispatec is Three Hills’ third investment in Spain
  • Three Hills provides preferred capital to European middle market businesses
  • It has €2.3bn of assets under management

Three Hills Capital Partners has invested in Grupo Hispatec Informática Empresarial, a software and agricultural technology provider for the speciality crops segment.

Hispatec has offices in Spain, Portugal, Mexico, Costa Rica, Colombia, Peru, Chile and Brazil. It develops and implements operational and decisional software for the agrifood network, from planting the initial seeds to selling fresh produce in the end market.

Three Hills’ investment will support Hispatec’s new product development and expansion into new markets, according to a release.

Hispatec is Three Hills’ third investment in Spain and first deal from Three Hills’ new impact strategy.

The growing global demand for produce, increased traceability demand by consumers and regulators and a push for more sustainable products are some of the market tailwinds for software products such as Hispatec, the release said.

Three Hills’ investment will drive growth through new product development based on these global trends, as well as through strategic M&A notably to support geographic expansion, the release added.

“The diverse array of growth opportunities identified, ranging from product streamlining to market expansion in Latin America, align with our vision of creating a lasting impact on the AgriFood Tech sector,” said Marco Anatriello, partner at Three Hills. “Importantly, Spain has a vibrant entrepreneurial ecosystem, and we are pleased to provide flexible funding solutions to yet another impactful business in Southern Europe.”

The Spanish speciality crops market has a market size of over €30 billion per annum, the release said.

Hispatec has entered a joint venture in Chile and the Latin American market overall represents an untapped opportunity for Hispatec, with speciality crops generating an output of over $150 billion per year on a standalone basis, the release added.

Three Hills provides preferred capital to businesses in the European middle market. It has €2.3 billion of assets under management and has offices in London, Milan, New York and Luxembourg.

No financial details of the transaction were disclosed.