Mastronardi Produce® and AppHarvest Develop New AgTech CEA Venture, FarmCo; Paul Mastronardi and Jonathan Webb Discuss
- by Jordan Okumura
KINGSVILLE, ON - Our ability to see opportunities and execute their outcomes with vision can inevitably decide our future, and having great minds at the table to do it gives those leaders a ticket to the frontline of the pack. Mastronardi Produce® Ltd. and AppHarvest are two such minds helping to drive the industry ahead, as they have announced a new endeavor to further strengthen their relationship and their trailblazing legacies. The two companies have signed a non-binding letter of intent to form FarmCo, a joint venture to develop a portfolio of controlled environment agriculture (CEA) facilities that will expand supply of fruits and vegetables, including leafy greens, to Mastronardi’s existing fresh produce marketing and distribution business.
“We are extremely pleased to be entering into this letter of intent with AppHarvest,” said Paul Mastronardi, President and Chief Executive Officer of Mastronardi Produce Ltd. “We have seen the demand for locally-grown produce skyrocket, particularly over the past 18 months as more people are cooking from home, and this partnership will allow us to significantly increase our ability to get more fresh, flavorful, locally-grown produce to tables across America.”
According to a press release, FarmCo will have its own leadership team and calls for the two partners to contribute equity and assets of over $100 million.
Targeting the vision of building over 750 acres of CEA facilities in the United States to grow fresh produce, the venture would use the equity contributed from both companies to raise additional capital to fund its growth.
“Mastronardi is the unquestionable leader in marketing and distributing CEA-grown produce to top grocers and restaurants in North America, and partnering more closely with them to fulfill the growing demand for quality local, fresh produce across the United States positions us together to make an even greater impact to establish a climate-resilient, sustainable food system to ensure food security,” adds Jonathan Webb, AppHarvest Founder and Chief Executive Officer.
A huge congrats to the new joint venture and two innovators joining forces to push the AgTech envelope forward!