Gotham Greens raises $29m through Series C equity funding

New York-based grower of sustainably grown produce Gotham Greens announced the closure of a $29m Series C equity funding programme last month.

The new round increases the total funds raised by the company to date to $45m, excluding bank debt.

Gotham Greens has grown to a multi-state indoor farming company since its launch in Brooklyn, New York, in 2011.

The company specialises in the production of hydroponic leafy greens for the North American market.

The funding round was led by the company’s current investors such as the Silverman Group, along with a new investment from Creadev, a global private equity investment firm controlled by the Mulliez family.

Gotham Greens co-founder and CEO Viraj Puri said: “This funding enables us to continue on our path of rapid growth that is providing consumers with fresher, better-tasting, locally grown produce, while transforming urban real estate and promoting sustainable agriculture.

“We’re inspired every day by the dedication and talent of our team to grow and purvey exceptionally high-quality, nutritious produce, while contributing to the better food movement.”

Gotham Greens grows fresh produces in climate-controlled urban greenhouses in close proximity to retailers and food service providers.

The company currently operates four production facilities in New York City and Chicago, Illinois, comprising a total area of 170,000ft², while a further 500,000ft² of production space is currently under development in five states.

Gotham Greens previously announced the establishment of new greenhouses in Chicago and Baltimore, Maryland, earlier this year.

The investment is expected to help the company to expand its trajectory, as well as broaden its distribution and expand its team of personnel.

In addition, the company intends to use the funding to enhance research and development into controlled-environment food production techniques, along with data science and machine learning.

Gotham Greens co-founder and CFO Eric Haley Gotham said: “The oversubscribed financing is strong validation of our proven farm unit economics, efficient utilisation of capital, growth rate and best-in-class brand.”

“We are excited to welcome Creadev to the Gotham Greens family and for this next phase of growth to bring local produce nationwide.”

Creadev USA managing director Delphine Descamps said: “Indoor farming is one of the most exciting and promising sectors in the world of food and ag-tech.

“Gotham Greens is a clear market leader and is positioned for significant growth. We were highly impressed by the company’s proven track record, greenhouse profitability, exceptional product quality and human-driven values.”

“We believe that the Gotham Greens team will continue to significantly influence how fresh produce is grown and distributed, both in the US and globally.”