UK’s largest ever agricultural transaction: Eversheds Sutherland advises South Yorkshire Pension Authority on JV with Royal London Asset Management

The deal, which is one of the largest ever agricultural land transactions in the UK, involves the transfer of around 21,000 acres of farmland in Cambridgeshire, Lincolnshire, Norfolk and Wiltshire together with associated buildings and a farming business to a new investment vehicle, the RL Natural Capital Fund, in which SYPA continues to hold around 46%.

As part of the acquisition, SYPA will relinquish direct control of a portfolio which, since 1976, it had built into one of the largest single ownership agricultural holdings in the country. It also marks the first investment by Royal London Asset Management into agriculture and natural capital.

Eversheds Sutherland advised on all aspects of the transaction including fund structuring, corporate transfers and real estate. The global law firm’s team was led by Richard Batchelor Partner (financial services) and comprised Gary Delderfield, Partner (employment, labour and pensions) Jamie Dunlop, Legal Director (financial services), Tom Milburn (corporate) and Martin Holden (Real Estate), Principal Associates, Claire Wills, Senior Associate and Lottie Millington, Associate (both corporate).

SYPA began discussing the potential for a joint venture with Royal London in 2021 with a view to creating a vehicle which could ultimately accept investment from further institutional investors. 

Gary Delderfield, Client Partner for SYPA, Eversheds Sutherland, commented:

“We’re thrilled to have once again supported and worked alongside South Yorkshire Pensions Authority to successfully deliver this transaction – one that holds a great deal of significance for both the company and the wider industry generally.”

George Graham, Director, South Yorkshire Pensions Authority, commented:

“This was a complex transaction, the success of which rested heavily on meeting the many strategic objectives of all parties. Eversheds Sutherland drew on its notable legal technical excellence and comprehensive understanding of our business to ensure a seamless completion. We very much look forward to continuing our work with them on any future opportunities.”