Two Kenyan nature-based enterprises have joined a five-business African investment accelerator seeking to mobilise approximately $10 million in capital, as financiers and development institutions explore ways to fund commercial activities linked to forest conservation, regenerative agriculture and sustainable natural resource use. Acacia EPZ, a gum arabic exporter, and ForestFoods, an agroforestry business, were selected for the inaugural 12-month Nature-First Innovation Lab (NFIL), which aims to strengthen their financial management, governance and environmental impact measurement before they approach investors.
The programme is run by FSD Africa in partnership with Systemiq and the African Natural Capital Alliance (ANCA), with support from UK International Development and the Norwegian Agency for Development Cooperation. According to programme information reported by Kenyan media, the five participating enterprises have a combined fundraising target of about $10 million. The accelerator will provide grants, business support and investor introductions, but will not take equity in the companies.
The selection reflects a financing challenge facing businesses whose revenue depends on maintaining or restoring natural ecosystems. While such enterprises can generate income from agricultural products, forest resources and waste recovery, their reliance on environmental assets can make their business models difficult to assess using conventional investment criteria. Investors may require stronger financial records, clearer governance structures and evidence that commercial growth is not undermining the natural resources on which operations depend.
Acacia EPZ illustrates how nature-based businesses can connect environmental protection with export markets. Founded in 2015 by Sam Ombogo Nyamboga, the company exports gum arabic, a natural ingredient used in beverages, confectionery and medicines. Its supply chain depends on acacia woodlands and the collectors who harvest the product, more than 70% of whom are reported to be women.
The company has recorded revenue growth of 56% over two years, according to programme information reported by KBC. The growth comes as conflict in Sudan has disrupted supplies from a major source of gum arabic, creating demand for alternative sourcing arrangements. Acacia EPZ’s traceable, conflict-free supply model gives buyers another route to the ingredient, while its collectors depend on healthy trees for their livelihoods.
The commercial relationship between woodland health and income is central to the company’s model. Acacia trees provide the resource from which gum arabic is harvested, meaning that depletion or degradation could weaken the supply chain. Maintaining tree cover is therefore not only an environmental consideration but also a business requirement, although the long-term outcome will depend on harvesting practices, woodland management and the distribution of value across the supply chain.
ForestFoods presents a different model, linking food production with regenerative agriculture. The enterprise operates farms around Limuru, Naivasha and Naro Moru and is developing a new site at Shimba Hills. Its approach uses syntropic agroforestry, which integrates trees, crops and livestock in a system intended to improve land productivity and ecological condition over time.
The company’s expansion will require investment in farming operations, processing, training and market access. These are also the areas where the accelerator is expected to provide support, helping the business strengthen its financial and operational structure before seeking external capital. Its ability to demonstrate commercial returns alongside measurable land restoration outcomes will be important to attracting investors.
The other businesses in the first cohort extend the programme’s focus beyond Kenya. Forested works with smallholder farmers in Ethiopia, Kenya and Uganda to supply regenerative honey, beeswax, shea butter and oils to international beauty brands. Tanzania-based NovFeed converts organic waste into fish feed and fertiliser, while Ghana’s Savanna Agri Chains sources and exports shea butter and baobab through a network of more than 1,000 women harvesters across 22 districts in the country’s north.
Together, the enterprises represent different ways of generating revenue from natural resources while seeking to protect or restore the ecosystems on which production depends. Their inclusion also highlights the range of investment opportunities emerging across African agriculture and resource-based industries, from export commodities to waste processing and regenerative food systems.
The accelerator’s role is to address the gap between early business development and commercial investment. Dorothy Maseke, Head of the African Natural Capital Alliance secretariat and lead for nature finance and the Taskforce on Nature-related Financial Disclosures at FSD Africa, said businesses often reach technical feasibility but struggle to secure financing because revenues are insufficiently established, governance is weak or documentation is incomplete.
The programme will help the selected enterprises improve financial planning, governance and measurement of environmental impact, while introducing them to potential investors. Its grant-based structure is intended to prepare businesses for commercial capital rather than replace it, making investment readiness a central objective.
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The financing challenge is significant for African economies where agriculture, forestry and other nature-dependent sectors support employment, exports and rural incomes. Research cited by FSD Africa and McKinsey Sustainability estimates that 62% of Africa’s gross domestic product depends on nature. That exposure creates economic risks where land degradation, forest loss and ecosystem decline affect production, but it also points to potential investment opportunities in businesses that manage natural resources sustainably.
The broader market opportunity remains dependent on whether enterprises can establish reliable revenue, scale operations and demonstrate that environmental benefits are credible. Nature-based businesses may face higher costs associated with monitoring, certification, traceability and sustainable sourcing, while investors must assess whether their returns can withstand changes in commodity prices, climate conditions and market demand.
For Kenya, the two selected businesses offer examples of how rural and agricultural value chains can connect with international markets. Acacia EPZ’s gum arabic exports depend on woodland-based collection, while ForestFoods’ agroforestry operations link land management with food production. Their growth could support local employment and supplier activity, but the extent of economic benefit will depend on how expansion affects workers, growers, landholders and local ecosystems.
The programme’s $10 million fundraising target is a collective ambition rather than committed investment. Its significance will therefore depend on whether the participating enterprises can secure capital after the accelerator, use it to expand viable operations and maintain the environmental conditions that underpin their revenue.
As African financial institutions and investors increasingly assess nature-related risks, the experience of the five businesses could offer insight into how environmental performance is incorporated into commercial decisions. The immediate test for the accelerator is whether stronger governance, financial systems and impact measurement can help nature-dependent enterprises move from grant-supported preparation to sustainable investment and growth.
