Estonia's InSoil lands €120M to scale regenerative agriculture lending
What's the deal? InSoilDealroom has a profile for this one. Try Dealroom →, a climate finance company, has secured a €120 million senior secured credit facility from Pollen Street CapitalDealroom has a profile for this one. Try Dealroom →.
The capital will expand its lending to agricultural small and medium-sized enterprises (SMEs) adopting sustainable practices like no-till farming, cover cropping, and reduced synthetic fertiliser use.
Founded in 2020, InSoil has already financed more than 3,500 agricultural SMEs across Europe. The underlying loans carry a guarantee from the European Investment Fund under the InvestEU programme.
Why now? "European agriculture is entering a new investment cycle," said Laimonas NoreikaDealroom has a profile for this one. Try Dealroom →, chief executive officer and founder of InSoil.
Farmers need capital to modernise equipment and improve soil health, but specialised financing has been scarce. The deal ranks among the largest private credit commitments to date for sustainable agriculture lending in Europe.
What could go wrong? InSoil targets a segment long underserved by traditional banks, where credit risk is harder to assess.
The company leans on proprietary underwriting and over 15,000 soil samples — one of the region's largest soil carbon datasets — to manage that risk.
The signal: The €120 million facility is an outsized commitment for an early-stage fintech still building its marketplace connecting global investors with European farmers, and it signals that institutional players like Pollen Street Capital see regenerative agriculture lending as a scalable asset class. The European Investment Fund's InvestEU guarantee on the underlying loans gives that bet structural cover in a segment traditional banks have largely avoided.
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Image credit: USDAgov
