December 13, 2015

Agtech company, AeroFarms Inc., has raised $20 million in a Series B led by Wheatsheaf Group, and including previous investors, GSR Ventures, MissionPoint Capital, and Middleland Capital, according to the Wall Street Journal.

Headquartered in Newark, New Jersey, AeroFarms develops high tech, indoor “aeroponic vertical farms” that use only 5% of the water used for conventional agricultural production, and which use proprietary technologies including systems that target fertilizer directly to a plant’s roots, and software controlled LED grow lights. Through these state-of-the-art indoor farms, AeroFarms produces 20 different varieties of leafy greens including kale, watercress, and arugula.

AeroFarms uses advanced technologies however, to take agricultural production to the next level. The company’s horticulturalists and engineers employ sensors and algorithms to collect plant data which is then analyzed to understand what inputs and factors cause certain crops to grow to include particular traits and attributes such as flavor or leaf texture – meaning AeroFarms can create bespoke crops custom grown for its customer’s menus. AeroFarms’ methods of production also allow for food to be produced without the use of soil, herbicides, pesticides, or fungicides, creating produce that can be eaten without needing washing.

So far, AeroFarms has been selling its produce on a premium basis to grocery stores and food service businesses, however, this round of funding will support the company in launching its own brand developed for the consumer market in 2016. The company is also planning to expand its number of vertical farms, including a large-scale facility to be based in Newark, New Jersey.