BrightFarms pockets $4.9M in Series B funding to build more greenhouses in the US
BrightFarms announced that it has secured $4.9 million in Series B financing. Investors in the said round include BrightFarms founder Ted Caplow, NGEN Partners, and Emil Capital Partners, according to TechCrunch.
The latest funding round brings BrightFarms' total raised capital to $9.2 million. What makes the startup interesting is its position between clean tech and the rising demand for locally grown produce in the middle of areas that are far from agricultural land, the report detailed.
The New York City-based company builds greenhouses in urban areas. These hydroponic greenhouses are usually constructed on the rooftops of supermarkets. Every structure is designed to reduce greenhouse gas commissions, conserve land and water, and at the same time, yield good-quality produce all-year round, the report explained.
To encourage grocery store owners to build a greenhouse, the cleantech firm sponsors the cost of the construction and secures a 10-year fixed price deals with retailers, TechCrunch reported.
The greenhouse builder said: "BrightFarms is exploiting a financial and environmental arbitrage opportunity by building a distributed network of local greenhouse farms."