EFM, a US-based forest investment and management firm, has announced a joint venture with Japan’s Sojitz Corporation, via its wholly owned subsidiary Sojitz Corporation of America, to establish a forestry investment fund aimed at advancing climate-smart forest management and high-integrity carbon credit production across the United States.
The newly formed entity, EFM Sojitz Management, LLC (ESM), will oversee the fund, which seeks to raise approximately USD 200 million, with initial backing anticipated from Sojitz, Fuyo General Lease Co., Ltd., and other global investors. The initiative is designed to scale nature-based climate solutions, with a focus on acquiring and managing forestland in climate-resilient regions of the US.
The fund will deliver financial returns through sustainable timber production and forest-based carbon credits, supported by EFM’s expertise in managing over 200,000 acres of US forestland with a strong track record in biodiversity conservation, community development, and climate resilience.
Bettina von Hagen, CEO of EFM, stated: “Partnering with Sojitz allows us to scale our climate-smart forestry model, particularly in growth markets like Japan. This fund offers investors access to high-quality carbon credits while promoting biodiversity, water resource protection, and rural employment.”
EFM’s approach integrates revenue from carbon credits and conservation easements alongside traditional timber, promoting forestry practices that restore ecological health. These practices include enhancing carbon sequestration, supporting tribal land use, conserving salmon habitats, and enabling recreational and non-timber forest uses.
The venture builds on EFM’s leadership in implementing advanced Improved Forest Management (IFM) methodologies, delivering high-integrity carbon credits with verified co-benefits. Investors in the new fund will benefit from these robust standards and sustainable land management techniques.
For Sojitz, the joint venture aligns with its broader decarbonisation agenda. The company launched its Energy Transformation Division in 2024 to expand renewable energy and offset initiatives. Koji Aonuma, General Manager of Sojitz’s Energy Transformation Department, commented: “EFM’s impact-driven model complements our vision for a sustainable, low-carbon future. By combining our international networks with EFM’s forestry expertise, we aim to attract diverse investors and deliver climate value at scale.”
The fund will target a broad investor base, particularly in Japan and international markets, aiming to catalyse capital into sustainable forestry and support global climate mitigation efforts.
