Urban agriculture giant Infarm to reap $250m from next fundraising

Tuesday 23rd February 2021 10:45 GMT

Sky News has learnt that Infarm has hired Goldman Sachs to oversee its biggest funding round to date, just five months after raising $170m from a syndicate of blue-chip backers.

Sources said the latest financing was likely to kick off in the coming weeks and would be completed later this year.

It is expected to crystallise so-called 'unicorn' status for Infarm - meaning it would join the crop of European technology companies worth at least $1bn.

Infarm, which is based in Germany, is targeting a vertical farming network of 5m square feet by 2025, it said in a statement last year.

The company is one of a breed of start-ups attempting to address food supply problems, some of which have become particularly intense during the coronavirus pandemic.

Unlike its rivals, Infarm installs modular 'mini-farms' which are located within supermarkets and restaurants.

In the UK, it has a partnership with Marks & Spencer, while it also operates in countries including Germany and Japan.

The speed at which Infarm is commencing plans for its next fundraising underscores the rate of cash-burn within the vertical farming sector, according to one investor.

An Infarm spokesman declined to comment on the fundraising or to provide any details about the company's recent performance.

Now On Air
Coast FM at Breakfast
Listen to Coast with your toast and start your day right with Coast FM's More Music Breakfast