Gotham Greens to use $310M toward national greenhouse expansion
Gotham Greens has raised more than $310 million in new capital, bringing the fast-growing company’s total financing to $440 million since its founding in 2009. The latest fundraising round is the company’s largest to date.
The company plans to use the funding to accelerate its mission to decentralize agricultural production and bring more greenhouse-grown produce and fresh, plant-based foods to people across the United States through channel and geographic market expansion, increased operational capacity and new product development. The company’s product portfolio includes greenhouse-grown leafy greens and herbs, along with a line of refrigerated salad dressings, dips and cooking sauces.
This capital raise will support Gotham Greens’ new greenhouse projects currently under construction in Seagoville, TX, (near Dallas), Monroe, GA, (near Atlanta) and Windsor, CO, (near Denver), the expansion of its existing greenhouses in Chicago and Providence, RI, as well as future projects and acquisitions in other regions across the U.S.
By 2023, Gotham Greens expects to own and operate 13 high-tech, climate-controlled hydroponic greenhouses, totaling more than 40 acres (1.8 million square feet) across nine states. The greenhouse expansion projects join Gotham Greens’ existing greenhouse farms in New York, Rhode Island, Maryland, Illinois, Colorado and California. The new greenhouses will enable Gotham Greens to continue serving many of the country’s largest grocery retailers, which continue to see a steady increase in consumer demand for greenhouse-grown produce.
“Gotham Greens was founded with a vision to advance indoor farming and sustainably grow high-quality leafy greens in cities across America every day of the year. Today, our ambitions and footprint are outgrowing our roots in the best way, and we’re humbled to receive this funding from new and existing investors to continue our national expansion in order to reach our goal of delivering Gotham Greens fresh produce within a day’s drive from our greenhouses to 90 percent of consumers across the U.S.,” said Viraj Puri, co-founder and CEO of Gotham Greens. “With increasing climate and supply chain related issues facing our food system, it’s more important than ever to bring innovative farming solutions that grow high-quality produce while using fewer precious natural resources. Gotham Greens is growing fast, and we look forward to bringing our brand to new markets in the coming months.”
Gotham Greens also recently completed the acquisition of FresH2O Growers Inc., a 540,000-square-foot hydroponic greenhouse grower in Stevensburg, VA. (50 miles southwest of Washington, DC). FresH2O leafy green salad products are sold in grocery stores across the Mid-Atlantic region.
Following more than a decade in operation, Gotham Greens continues to grow double digits, achieving 26 percent year-over-year growth in the leafy greens category alone (compared to 3 percent and 2 percent YoY growth for conventional and organic sectors, respectively). Through strategic expansion, both national and regional retail partnerships continue to grow with key accounts, including Whole Foods Market, The Kroger Co., Albertsons, Sprouts Farmers Market, The Fresh Market, AmazonFresh and FreshDirect. Gotham Greens products are available in more than 3,000 grocery stores nationwide.