Gotham Greens, Indoor Farming Startup Secures $310 Million In Series E Funding Indoor farming startup based off New York, Gotham Greens has secured $310 million in a Series E fundraising spearheaded by Ares Management Fund, and BMO Impact Fund. The recent fundraising makes it a total of $440 million that Gotham Greens has secured since 2009 when the company was launched. Gotham Greens has indicated its plans to use the secured funds to expand its leafy greens business. The company grows herbs such as basil, butterhead lettuce, and romaine through hydroponics in greenhouses. The company’s plan is to supply these produce fresh to stores like Sprouts and Whole Foods few hours after harvesting.
Gotham Green already has some greenhouses in Chicago, and Providence but is currently constructing greenhouses in Colorado, Georgia, and Texas. The company has expressed its intention to be available in at least 13 locations and establish its presence across nine states by 2023.
Hydroponics has gained wide acceptance in the agricultural landscape. This phenomenon used to grow plants timelessly and everywhere is Gotham Greens’ main medium. Hydroponics has helped the company to use 97% less land than the conventional farming method requires. With this, plants are grown in nutrients-dense water sans soil, and not the typical expansive acreage which gets degraded over time.
The issue of climate change, and the post pandemic realities is changing how the world is conducting its business. It has particularly brought to the fore the need to be proactive to avert an impending food crisis. Speaking on this issue, Gotham Greens cofounder and CEO Viraj Puri had this to say; “it is more important than ever to bring innovative farming solutions that grow high-quality produce while using fewer precious natural resources”.
In 2022, Gotham Greens $310 million fundraising is second only to that of Plenty, an indoor farming company. The company based in San Francisco previously secured a $400 million Series E funding spearheaded by One Madison Group, and JS Capital Management in January.
A lot is going on in the world of Agrictech. It is worthy of note that a total of $1.1 billion was raised in the vertical farming landscape in 2021. The 2022 stats currently sits at $826 million. Modern-day agriculture is shifting the investment direction as more urban-focused investors determined to leverage on technology are rapidly joining the ecosystem. This is clearly one of the ways to minimize the consequences of climate change and cushion harsh post pandemic realities.
Vertical farming may not be a one fit all solution to avert food crisis but it undoubtedly offers remarkable solutions. This system reduces land degradation, saves labour and transportation costs amongst it numerous benefits. It will however take concerted efforts to fully address the method’s limitation such as the initial cost of setting up greenhouses, and the types of crops that can be farmed.
As originally reported in (https://news.crunchbase.com/agtech-foodtech/fundraising-indoor-farming-startup-gotham-greens/)