IRVINGTON, NY - BrightFarms, known for its locally-grown packaged salads, announced today that it secured $55 million in a Series D equity financing. The round, led by Cox Enterprises, a leading communications, media, and automotive services company, was joined by existing investors Catalyst Investors, WP Global Partners, and NGEN Partners. The company noted that this financing enables the continued rapid national expansion of BrightFarms’ network of local and sustainable farms.
“Cox is a long-standing, successful investor and operator, with a proven track record across multiple industries, and a long-time leader in corporate sustainability,” said Paul Lightfoot, BrightFarms Chief Executive Officer. “We have a bold vision to change the way Americans gettheir produce and this round will help us achieve our goals.”
According to a press release, BrightFarms, which operates greenhouses near metropolitan areas to provide supermarkets with consistent and year-round supply, has a one-week freshness advantage, innovative varieties, a more reliable and safe supply chain, and consistently higher category sales. BrightFarms has achieved success in the market with national retailers such as Kroger, Ahold, Albertsons, and Walmart.
The company currently operates facilities in Pennsylvania, Virginia, and Illinois. A new farm in Ohio will open this summer, followed by a Texas facility in early 2019. BrightFarms’ operations use 80 percent less water, 90 percent less land, and 95 percent less shipping fuel than long-distance, centralized, and field-grown suppliers. The company noted that all of its produce is pesticide-free and non-GMO.
For Cox Enterprises, the investment in BrightFarms supports a joint strategy in social responsibility and diversified growth. In 2007, the company launched its national sustainability initiative, Cox Conserves. Since then, it has invested more than $100 million toward environmental goals, including sending zero waste to landfill by 2024 and becoming carbon and water neutral by 2044. More recently, Cox has expanded its investment strategy to include sustainable technology businesses in water, energy, and food and agriculture.
“Since our founding in 1898, Cox has embraced innovative, game-changing businesses in their earliest stages like radio, television, cable TV, and broadband,” said Dallas Clement, Chief Financial Officer of Cox Enterprises. “BrightFarms presents a unique opportunity to reshape agriculture production and drive positive environmental change by growing in local, controlled-environment agriculture farms. We are excited about the opportunity to support BrightFarms’ growth as it scales into a national brand.”
In accordance with this news, David Blau, Vice President of Strategy & Corporate Development, and Lacey Lewis, Senior Vice President of Finance, Cox Enterprises, have joined the BrightFarms Board of Directors. Barclays acted as Placement Agent on the transaction.
