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Highlands Rewilding Review

In this article, we’ll get to know more about Highlands Rewilding and assess the pros and cons of investing with it.

If you have been proposed this option and want a second opinion, you can email me (advice@adamfayed.com) or contact me here.

We can sometimes offer discounts, and other benefits, if you want to invest in it, compared to many other providers, or introduce alternatives which might be better for your situation.

Who is Highlands Rewilding and what does it do?

Highlands Rewilding is a relatively new company, founded in 2020 by a team of experts in ecology, conservation, and sustainable land management. The company is based in Scotland and is focused on restoring nature and wildlife to the Scottish Highlands through rewilding initiatives.

The concept of rewilding is based on the idea that many ecosystems have been damaged or altered by human activities such as agriculture, urbanization, and industrialization. Rewilding aims to reverse these impacts by restoring natural habitats and ecological processes.

Highlands Rewilding aims to create a viable and biodiverse ecosystem in the Scottish Highlands by reintroducing native species, restoring habitats, and promoting sustainable land management practices. The company works closely with local communities, landowners, and government bodies to achieve its goals as well as help shape future policies.

Among the main initiatives of Highlands Rewilding is the restoration of the Bunloit and Beldorney estates in Scotland. The firm targets to improve land management practices and grasslands.

In addition to its rewilding initiatives, Highlands Rewilding also offers consultancy services to landowners, businesses, and governments on sustainable land administration practices. The company believes that such system is key to addressing climate change, promoting biodiversity, and achieving green rural development.

Highlands Rewilding offers natural capital services as part of their conservation and land management efforts and consultancy services. Natural capital refers to the value that natural resources provide to people and the economy, including things like clean water, carbon sequestration, and biodiversity.

Through their natural capital services, the company seeks to create value from the natural assets they manage.

Highlands Rewilding provides natural capital assessment services to help landowners and businesses understand the natural capital assets present on their land, as well as the value that those assets can provide.

Natural capital assets can include things like clean water, carbon sequestration, and biodiversity, and can be a valuable source of ecosystem services that benefit both the environment and human communities. By quantifying the natural capital assets present on their land, landowners and businesses can better understand the ecological and economic value of those assets, and make more informed decisions about how to manage and use their land.

What strategies are employed by Highlands Rewilding to generate profit for land it invests in?

The company focuses on five different aspects of land management:

Afforestation

Highlands Rewilding aims to plant trees that are natural to the Beldorney area, which is dubbed a Forest of Hope. This is thanks to a collaboration with the COP26 Innovation Zone.

By the banks of the Deveron River, the untouched broadleaf native woods come to an abrupt end where wide grasslands begin. So, the firm wants to plant and restore around 250,000 trees as part of the expansion of the forest into the sloped field that runs down the valley and west into two adjacent ones.

Forestry

The present monoculture conifer plantations are going to be cut and substituted with either a mixture of native species or the restoration of peatlands. This is an ecological need for the long-term storage of carbon and the increase in biodiversity that is now taking place at Bunloit.  Should the price of wood continue to be as high as it is right now, this will also have the additional benefit of reducing the cash outflow experienced by the firm in its infancy.

In the future, the Highlands Rewilding wants to build sustainable continuous cover forestry, which will consist of a diversified mixed woodland of broadleaves and will also include some conifer species. At such time, sustainable forestry will also be a source of income in addition to the initial harvesting of the plantings as a source of revenue.

In areas where peatlands have been deteriorated as a result of forestry activities, peatland restoration is an absolute need for carbon sequestration. The company is collaborating with Peatland Action in order to make this method of claiming extra carbon credits a practical option.

Regenerative Agriculture

Regenerative agriculture is a type of farming practice that emphasizes the restoration and regeneration of soil health, biodiversity, and ecosystem services.

The goal of regenerative agriculture is to create farming systems that are resilient, productive, and sustainable over the long-term, while also providing social and economic benefits to farmers and rural communities. It is seen as a promising approach to addressing many of the environmental and social challenges associated with conventional agriculture, including soil erosion, water pollution, greenhouse gas emissions, biodiversity loss, and declining farm profitability.

A workforce that lives on or in close proximity to the estates and operates associated eco-businesses from them will be in charge of related operations.

Eco-tourism

Highlands Rewilding also offers eco-tourism activities as part of their efforts to promote conservation and sustainable land use practices. They offer guided tours, wildlife watching, and other activities that provide visitors with opportunities to experience and learn about the natural environment and the benefits of rewilding and regenerative agriculture.

The tours are led by experienced guides who can provide information on the history of the area, the ecological importance of rewilding, and the impact of ecological land management.

The company also offers eco-friendly accommodation options which are designed to minimize their environmental footprint. These accommodations provide visitors with a comfortable and unique place to stay while also promoting sustainable tourism practices.

Eco-Building

Highlands Rewilding also incorporates eco-building practices in their conservation efforts. They use sustainable building materials and techniques to construct facilities that have a minimal impact on the environment and are energy-efficient.

These buildings serve as workshops, offices, and operation bases for eco-businesses.

Highlands Rewilding beldorney
Beldorney estate in Scotland. Image from Highlands Rewilding

What investments does Highlands Rewilding offer?

Equity Crowdfunding

Equity crowdfunding is a type of crowdfunding where investors can purchase shares in a company that’s not listed on a stock exchange in return for equity. It is typically done through online platforms, where companies can create a profile and pitch their business to potential investors.

Equity crowdfunding can be an effective way for companies like Highlands Rewilding to raise capital, particularly for early-stage startups that may have difficulty securing traditional funding sources like venture capital or bank loans. It can also allow for broader participation in a company’s success, as investors can benefit financially if the company grows and becomes profitable.

However, equity crowdfunding also comes with some risks for investors, as early-stage companies can be risky investments and there is a higher likelihood of failure. Additionally, equity crowdfunding platforms may not be as regulated as traditional financial markets, which can lead to potential fraud or other risks.

Despite these risks, equity crowdfunding has grown in popularity in recent years, particularly as more online platforms have emerged to facilitate the process. In the UK, the Financial Conduct Authority (FCA) regulates equity crowdfunding platforms to ensure that they comply with certain rules and standards to protect investors.

Higlands Rewilding seeks a million pounds from its crowdfunding, targeting retail investors, citizen rewilders, as well as local communities in the UK. Residents of other territories who are interested to invest in this crowdfund initiative can get in touch with the company directly.

highlands rewilding crowdfund
The company has a stretch target of 1 million pounds. Image from Highlands Rewilding

Highlands Rewilding has partnered with ShareIn Ltd. to carry out its equity crowdfund. The Financial Conduct Authority has granted ShareIn authorization and regulates the company’s operations.

ShareIn handles all of the financial transaction processing for Highlands Rewilding, and they keep your funds in a separate account at Barclays Bank plc until they are ready to be invested. Your investment funds must be sent to ‘ShareIn Ltd’. You’ll have access to the transfer information when you make an investment.

Off-Platform Investment

The firm also offers investments made outside of crowdfunding platforms, such as through private placements or direct investments. Through off-platform investing, Highlands Rewilding is reaching out directly to potential lenders and professional investors to leverage their equity position to access debt financing from them.

Debt financing can be a more cost-effective way to raise capital compared to selling additional equity shares.

The firm targets to pool funds worth 8 million pounds. It also outlines in its offer document how it will use the funds should it attain this goal and more.

For investments that are made off-platform, a minimum investment amount of 500 pounds is required.

Investors should not put excessive reliance on any declaration of off-platform commitments when making a decision to invest. Pledges are not considered to be actual investments since they only indicate the desire of the donor to make a financial contribution. They are not legally enforceable too, despite the fact that the desire to invest has been confirmed and that the pledges have been made public.

Overseas investors, family offices, and financial institutions should talk to the company directly to participate in this investment.

What are the fees?

Investing with the company will not incur additional costs. Highlands Rewilding is covering all of the related fundraising expenses for its current campaign.

Who are eligible to invest with Highlands Rewilding?

Residents of the United Kingdom who are at least 18 years old and who classify themselves as either a High Net Worth Investor or a Self-Certified Sophisticated Investor, or who can verify that they will invest no more than 10% of their total net assets in this kind of investment and qualify as a Restricted Investor, are eligible to participate.

In addition, potential investors are required to provide evidence that they have an understanding of the general risks associated with participating in Highlands Rewilding crowdfund. Also eligible to invest are organizations and institutions, provided they can place themselves in one of the aforementioned categories and show an equivalent level of understanding as mentioned.

Foreign investors could be taken into consideration for investments too. However, they must speak with the company and come to an agreement. Eligibility will be determined by the specifics of the overseas investor’s situation as well as the legal system of the nation in which he or she resides.

If you are an investor from abroad, you can send an email to crowdfund@highlandsrewilding.co.uk.

Are there regulatory requirements you must know?

For reasons of compliance with applicable regulations, you need to be considered a “client” before you may make investments using this platform. Thus, you must complete and pass the so-called Appropriateness Test.

All investors in the UK who use this platform have the opportunity to file a complaint with the Financial Ombudsman Service or demand for compensation under the Financial Services Compensation Scheme (FSCS).

Nevertheless, you cannot claim to be compensated for investment losses in the platform.

Any individual investor based in the UK will be considered as a retail client.

Before you are allowed to invest, you will be required to demonstrate that you are in compliance with the rules that are in effect in your local location. These restrictions may vary from one region to another.

Moreover, Highlands Rewilding need confirmation of identification from all potential investors to verify that they are who they say they are and that they are not investing on behalf of another person. This is to make sure that the company is in compliance with the anti-money-laundering rules in the UK. These are designed to counteract the act of money laundering as well as the funding of terrorist organizations.

In general, these verifications will be carried out covertly using election data. On the other hand, if the firm is unable to verify your identify using the information that you have provided, they may seek a copy of two documents: one to establish your identity, and one to authenticate your address.

Bear in mind that if you fail the identity checks, your investment application will be canceled.

What returns can you expect as an investor?

An investor who holds a large share gets the same deal as one who has a small shareholding. Of course, the exact yields will not be the same, but each share targets an annualized return of 5% over the current 10-year time frame. On top of this, Highlands Rewilding eyes paying dividends to its shareholders as well.

The company’s board is accountable to all shareholders for looking out for their best interests. Even if ordinary investors are a small fraction of the total, their input is crucial to the company’s success. The potential for failure is a risk shared by all stockholders.

High risks and potential big returns go hand in hand when investing in a firm like Highlands Rewilding. Hence, it is quite speculative.

Can you sell your shares in Highlands Rewilding?

Shares in private firms like Highlands Rewilding are not traded on any centralized exchange, therefore investors should proceed with caution. Selling your investment may be challenging, both in terms of getting a fair price and finding a buyer at all.

The company plans to design its crowdfunding platform in such a way that shares can be traded in the secondary market, meaning existing shareholders will be able to regularly sell their shares to new shareholders.

The same rule will apply to the company’s founder shareholders, who, in the event that they choose to sell their shares, will first be required to offer them to the company’s other founding shareholders. If no one is interested in purchasing them, they will be made available to new high net worth people or organizations that have grown interested in the firm and its goal as it has progressed.

How does Highlands Rewilding mitigate risks and protect shareholder interests?

According to the shareholder agreement, shareholders are only allowed to sell their shares to individuals or organizations who share the company’s vision and values. While this is not legally obligatory since doing so might discourage investment from significant financial institutions, Highlands Rewilding makes room for strong pressure from peer groups as well as pressure from internal stakeholders in order to maintain investor alignment.

In addition to this, the board has the authority to select who is permitted to invest and who is not. Behind closed doors, this is a method for weeding out stockholders who may claim they support the purpose, but who may not genuinely do so.

The company only sells its carbon and biodiversity credits to businesses who have successfully achieved net zero carbon emissions or are able to demonstrate that they are clearly on track to meet that goal. The firm also only offers its biodiversity credits to businesses who can provide evidence that they are actively pursuing nature-friendly practices throughout their full operational footprint.

What are the benefits and risks of investing with Highlands Rewilding?

Benefits

  • Environmental Impact: Investing in Highlands Rewilding provides an opportunity to support a company that is making a positive impact on the environment by restoring ecosystems and sequestering carbon. This aligns with the values of many investors who prioritize sustainability and social responsibility.
  • Innovation: The company is taking an innovative approach to landscape restoration, using techniques like regenerative agriculture and rewilding to restore degraded land. This could position the company as a leader in the growing field of sustainable agriculture and ecosystem restoration.
  • Diversification: Investing in a company like Highlands Rewilding could provide diversification benefits to an investment portfolio, as it is not correlated with traditional stock and bond investments. Crowdfunding can also offer a range of benefits, including access to capital from a large pool of investors, access to early stage companies that may not be publicly traded or accessible through traditional investment channels, and potential for high returns if the company is successful.

Risks

  • Limited Liquidity: Investing in a private company like Highlands Rewilding can be illiquid, meaning it may be difficult to sell shares and access your investment. You should be prepared for a longer-term investment horizon and potentially limited options for exit.
  • Uncertain Returns: As a private company, Highlands Rewilding may not have a track record of financial performance that can be evaluated. You could see lower returns or risk losing all your investment.
  • Lack of Guarantee. You are not protected by the FSCS for when you lose any or all of your investments. Besides, the value of your investment might fall since the percentage of the company that you hold will decrease if the company issues new shares.
  • Regulatory and Legal Risks: Investing in private companies can involve a higher level of regulatory and legal risk, as these investments may not be subject to the same disclosure requirements and protections as public company investments. You should execute due diligence and understand the risks associated with investing in a private company like Highlands Rewilding.

Highlands Rewilding Review: Bottom Line

Putting money into startups in their early stages, such as Highlands Rewilding, is fraught with danger and should only be attempted within the context of a balanced investment strategy. You should not invest unless you can afford to lose your whole investment. This is a risky bet, and you probably won’t be covered if anything goes wrong. Only those who are completely comfortable with risk should consider making this kind of investment.

In the end, the choice to invest is one that is taken at the risk of the investors themselves. You should conduct your own research and get expert independent advice if you are uncertain about investing and if you want to make a well-informed choice.

Explore another unique investment in our Regency for Expats review.

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Adam is an internationally recognised author on financial matters, with over 760.2 million answer views on Quora.com, a widely sold book on Amazon, and a contributor on Forbes.

This website is not designed for American resident readers, or for people from any country where buying investments or distributing such information is illegal. This website is not a solicitation to invest, nor tax, legal, financial or investment advice. We only deal with investors who are expats or high-net-worth/self-certified  individuals, on a non-solicitation basis. Not for the retail market.

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