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Hydroponics Giant Hydrofarm Plans New Northern California HQ After IPO, 3 Acquisitions
Becoming a publicly-traded company, moving its headquarters from Petaluma temporarily to the East Coast, spending $343 million to acquire three more companies, prepping to return to a larger North Bay hub. It’s been a busy seven months for indoor farming equipment maker and distributor Hydrofarm
THE NORTH BAY BUSINESS JOURNAL
June 25, 2021
Becoming a publicly-traded company, moving its headquarters from Petaluma temporarily to the East Coast, spending $343 million to acquire three more companies, prepping to return to a larger North Bay hub. It’s been a busy seven months for indoor farming equipment maker and distributor Hydrofarm.
On Dec. 14, nearly 10 million shares of Hydrofarm Holding Group stock started trading on the Nasdaq Global Select Market under the ticker symbol “HYFM,” harvesting proceeds of $182.3 million, according to the March 31 annual report. The company did a follow-on offering of 5.5 million shares ended May 3, netting $309.8 million more.
After peaking at $92 in mid-February, the share price was $56.96 at the close of trading Friday.
Then early this year, Hydrofarm shifted its headquarters to its Philadelphia-area distribution center. It’s one of nine totaling 900,000 square feet that the 4-decade-old company operates in the U.S., Canada, and Spain. Hydrofarm also has offices in China.
That happened because Hydrofarm was lining up a larger location elsewhere in the North Bay, something it has been looking for over the past few years.
Hydrofarm had planned to relocate its headquarters from Petaluma to the 250,000-square-foot Victory Station warehouse south of Sonoma, but that deal didn’t materialize amid the rapid cooling of demand for real estate from the newly legal cannabis industry, according to real estate sources.
Hydrofarm couldn’t be reached for comment on its North Bay plans.
While cannabis has become a key driver of demand for controlled environment agriculture products, Hydrofarm got its start in Marin County during the disastrous drought of 1977-1978, the Business Journal reported in 2010. Founder Stuart Dvorin developed water-saving hydroponics that gained traction among gardeners.
The product line expanded to energy-efficient grow lights and germination kits. Then Hydrofarm moved into manufacturing and distributing indoor gardening equipment for both professional growers and hobbyists.
Today, key markets are growers of cannabis, flowers, fruits, plants, vegetables, grains and herbs. The portfolio now includes 26 internally developed, proprietary brands with about 900 product variations under 24 patents and 60 registered trademarks. The company also has over 40 exclusive and preferred brands totaling another 900 stock-keeping units.
Company brands account for about 60% of sales. The total catalog, which carries products from over 400 suppliers, includes over 6,000 SKUs.
“Our revenue mix continues to shift towards proprietary brands as we continue to innovate, improving overall margins,” the annual report said. “Further, our revenue stream is highly consistent as, in our estimation, we believe that approximately two-thirds of our net sales are generated from the sale of recurring consumable products including growing media, nutrients and supplies.”
Net sales last year were $342.2 million, up 45.6% from 2019. The company speculated in its annual report that the coronavirus pandemic shelter-at-home public health orders contributed to this jump in sales. Net revenue the previous year grew only 11.0% from 2018.
First-quarter net sales were $111.4 million, up 66.5% from a year before. The company attributed that to a 59.6% increase in the volume of products sold plus a 6.9% increase in price and mix of those products.
A sign of its commitment to remain in the North Bay, Hydrofarm earlier this year secured a lease for a 175,000-square-foot new distribution warehouse at 2225 Huntington Drive in Fairfield. Meanwhile, Hydrofarm founder Stuart Dvorin was preparing to sell the 110,000-square-foot main Petaluma facility at 2249 S. McDowell Blvd. Extension, a $17.5 million deal that closed June 7.
“We also intend to relocate our existing distribution operations in Northern California from the existing Petaluma building to a larger distribution center in the surrounding area,“ the company wrote in its annual report.
Started in Marin County in 1977 as Applied Hydroponics, Hydrofarm moved the headquarters to Petaluma in 1994, employing 65 at the time. It gradually expanded to 150,000 square feet there with a staff of more than 150 employees by 2010 and then to 195,000 square feet in the city in 2017. The company employed 327 full-time in all locations as of the end of February, it reported.
2017 is when Hydrofarm made a big expansion into Canada with the acquisition of Eddi’s Wholesale and Greenstar Plant Products. That deal helped Hydrofarm become a top supplier of hydroponics gear in Canada, the company said.
This year, Hydrofarm has acquired three more companies. Los Angeles-area premium nutrient maker Heavy 16 was picked up for $78.1 million, and Humboldt County’s House & Garden portfolio of brands for $125 million. A $161 million deal was announced this month for Aurora International Inc. and Gotham Properties LLC, Oregon-based manufacturers and suppliers of organic hydroponic products.
“We view M&A as a significant driver of potential growth as the hydroponics industry is fragmented and primed for consolidation,“ Hydrofarm wrote in its annual report.
Hydrofarm also has been fertilizing its C-suite with acumen in the past couple of years. At the beginning of 2019, Bill Toler came in as CEO, bringing with him over 3 decades of senior executive experience at major consumer packaged goods companies, including most recently seven years as CEO and president of Hostess Brands. B. John Lindeman came in as chief financial officer in March 2020 with 25 years of agriculture and finance executive experience.
Inside The Deals
Lease: Fairfield Commerce Center, 2225 Huntington Drive, Fairfield
Property type: Industrial
Size: 175,404 square feet
Tenant: Hydrofarm
Owner: TreaJP Venture Fairfield LLC
Date: Early 2021
Sale: 2249 S. McDowell Blvd. Extension, Petaluma
Property Type: Industrial
Size: 110,000 square feet
Buyer: Scannell Properties 531 LLC
Seller: Stuart Robert and Emily Alice Dvorin LDGT Grantor Trust
Agents: Cushman & Wakefield represented the buyer, and Meridian Commercial the seller.
Date: June 7, 2021
Price: $17.5 million
Sources: Cushman & Wakefield and Business Journal research
Lead photo: Hydrofarm's former headquarters on South McDowell Boulevard Extension in Petaluma (Facebook.com/Hydrofarm)
Jeff Quackenbush covers wine, construction, and real estate. Before the Business Journal, he wrote for Bay City News Service in San Francisco. He has a degree from Walla Walla University. Reach him at jquackenbush@busjrnl.com or 707-521-4256.
Artemis Releases 2020 State of Indoor Farming Report
The purpose of this report is to look at where the indoor agriculture industry is today as well as to give growers an industry voice around the latest trends, biggest challenges, and the immense opportunities in this rapidly expanding industry.
We are excited to release our third State of Indoor Farming report. Since their inception in 2016, the State of Indoor Farming reports have been downloaded by millions of people and used as a trusted resource on the industry.
The purpose of this report is to look at where the indoor agriculture industry is today as well as to give growers an industry voice around the latest trends, biggest challenges, and the immense opportunities in this rapidly expanding industry.
The report includes a high-level overview of the industry, as well as a deep dive on key topics such as expenses, sales channels, growth, cannabis, and projections for the future of the industry.
To learn more, you can access the report here.
You can also access our 2016 and 2017 State of Indoor Farming reports.
Ready to see how Artemis can help your operation?
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Edmonton Startup’s Simulated Sunlight Aims To Help Producers Grow More Food With Less Energy
This “Engineered Sunlight™” is at the heart of a food security revolution aimed at finding ways to produce more food with less energy, often in extreme settings
MAY 17, 2021
Sunlight, water and nutrients, in varying degrees depending on the plant, are the foundation of all plant life, but if you want to see them really grow, one University of Alberta graduate says threaten them with a little shade.
Michael Taschuk
Michael Taschuk, the founder of G2V Optics, explained plants growing in a field are always competing with each other for sunlight, so if a neighbour starts growing over them, plants can actually “see” this optically.
“There’s a change in the quality of the red light that they observe, so they will grow taller and they will grow bigger,” said Taschuk.
“That’s what we do with our lighting—we can mimic that light that they would interpret as shading so that they grow bigger.”
This “Engineered Sunlight™” is at the heart of a food security revolution aimed at finding ways to produce more food with less energy, often in extreme settings.
And not unlike the plants they grow, it is a crowded field of scientists hunting for the next breakthrough.
Innovation rooted in U of A research
That’s why Taschuk and his G2V team have never strayed very far from their U of A roots.
Taschuk, who spent 20 years moving from undergrad to PhD being trained as an optics and electronics researcher, previously collaborated with engineering professor Mike Brett and chemistry professor Jillian Buriak, who holds the Canada Research Chair in Nanomaterials for Energy, to build organic photovoltaic devices.
“Through the course of that collaboration, it became clear that there was an opportunity as LEDs developed to mimic sunlight really precisely, and then make a really good test instrument for the work that Jillian and her group were doing around solar cells,” said Taschuk.
“There are colours beyond what humans can see, both in the ultraviolet and into the infrared, which solar cells and plants care about.”
More recently, Taschuk joined forces with R. Glen Uhrig, a plant functional genomics professor in the Faculty of Science, who is studying the interaction of plants and light.
And like the first collaboration that helped launch G2V, Uhrig made an immediate impact.
“Glen took a look at our lights and found a mechanism to decrease the energy costs by 30 per cent,” said Taschuk. “Plants grow 30 per cent better if you get the lighting right.
“This is just game-changing for vertical farms, or indoor farming under controlled environment agriculture, as you can imagine.
“Without any additional inputs, we were getting 30 per cent more plant yield.”
Now, G2V Optics and the Uhrig Lab have been awarded a joint Natural Sciences and Engineering Council of Canada Alliance grant and an Alberta Innovates Campus Alberta Small Business Engagement grant totalling $720,000 over two years to research light’s impact on the genetic response and phenotype of horticulturally relevant plants.
University of Alberta Release. This material comes from the originating organization and may be of a point-in-time nature, edited for clarity, style and length. View in full here.
Tags:Agriculture, breakthrough, business, Canada, Engineering, environment, genomics, innovation, Professor, research, Scientists, security, Small Business, ultraviolet, university, University of Alberta
Advances In Hydroponic Cultivation of Floriculture Crops
Advances In Commercial Hydroponic Cultivation of Floriculture Crops for International Markets
Hydroponics In The GCC - History And Emerging Trends
During World War II the shipping of fresh vegetables to overseas remote islands was not possible; and also feeding the soldiers, where troops were stationed. They couldn’t be grown in the soil. Then, Hydroponic technology was tested as a viable source for fresh vegetables during this time
K.V.Bhaskar Rao
Grower - Hydroponics Specialist,
Consultant, Mentor, Faculty,
Trend Setter And Speaker
During World War II the shipping of fresh vegetables to overseas remote islands was not possible; and also feeding the soldiers, where troops were stationed. They couldn’t be grown in the soil. Then, Hydroponic technology was tested as a viable source for fresh vegetables during this time. US Air Force built one of the first large hydroponic farms on Ascension Island in the South Atlantic, followed by additional hydroponic farms on the islands of Iwo Jima and Okinawa in the Pacific, using crushed volcanic rock as the growing medium and, on Wake Island west of Hawaii, using gravel as the growing medium. These hydroponic farms helped fill the need for a supply of fresh vegetables for troops stationed in these areas.
The American Army and Royal Air Force built hydroponic units at various military bases to help feed troops. In 1952, the US Army's special hydroponics branch grew over 8,000,000 lbs. of fresh produce for military demand. Also established at this time was one of the world's largest hydroponic farms in Chofu, Japan, consisting of 22 hectares. History says that in 1945 during the II world war, the US Air Force built large hydroponic facilities in Habbaniya in Iraq, Bharain and the Persian Gulf, to support troops stationed near large oil reserves. So, we know that hydroponic cultivation of vegetables was prevalent during that time in the Middle East and GCC.
Climate change, water stress & environmental degradation are affecting large populations around the world & represent a major threat to international hunger, human security & wellbeing. Technology development, implementation, indigenization to suit local conditions (labour and capital) along with skill development for personnel is the key to the success of agriculture in a rapidly urbanizing world. Based on predicted population growth and urbanization, food and water demand will create greater challenges by 2050. The world will be required to produce more food, with less water and a declining rural workforce.
Urban agriculture (CEA which includes hydroponics/ rooftop/ aquaponics/ aeroponics) is the new culture that is catching up everywhere and more in the GCC. We do have far too many participants in this industry who have too little actual crop production knowledge and / or experience. This challenge can be met with training/skill development to generate employment and food security with rational use of resources and thus producing safe, healthy & nutritious food. Educate individuals and companies to the new farming technology as innovation and capacity building is the only accelerators to this new endeavour.
Increasing awareness regarding the risks of consumption of contaminated food is a driving demand for crops and vegetables that are cultivated in a safe and controlled environment. Hydroponic plants are an ideal choice in this scenario as hydroponic systems eliminate the need for soil, which is where pathogens incubate. Moreover, the increasing rate of urbanization in developed regions is expected to cause a major shift towards a preference for hydroponic vegetables. Consumers with changing tastes are willing to pay a premium for an assortment of produce offering freshness, quality, flavour, safety, and convenience. Young and affluent Western food-loving consumers are driving the growth and demand for imported foods in the Middle East.
Locally grown vegetables, indigenous/ native herbs, microgreens, wheatgrass, salad greens, and the concept of “farm to fork” are becoming increasingly common in the marketplaces of GCC. Thanks to alternative agricultural practices such as hydroponic farming. Most GCC countries are now taking definite steps towards being self-sustainable with certain food items that often are served at the dinner table. RTE salad mix or even the snacking section like cherry tomatoes, baby carrots, and the likes are hitting the hypermarket shelves.
Many Arab countries rely heavily on groundwater to meet their water requirements for economic and social development, such as Saudi Arabia, Oman, Jordan, and Libya, with more than 80% groundwater dependence. Even in countries with the relative abundance of surface water such as Syria, Egypt, and Iraq, which have flowing rivers, reliance on groundwater is increasing due to growing demand for water – sometimes due to up streams’ control of flow. Groundwater is facing depletion in many GCC countries, which threatens its sustainability and the existence of the sectors that depend on it.
Hydroponics in the GCC has the following “cut above the rest” pointers to establish long-term investment benefits in all ways. It is a “win-win” situation for all the stakeholders.
* Huge potential in areas with poor arable land like the Middle East. You do not have to use "New Technology" it is Proven.
* Offers the chance to Grow food 12 months of the year even in warm climates. Increased Yields - more product is grown and harvested per M2.
* A huge reduction in the quantity of water currently used in the food chain, reduction in the use of fertilizers and energy currently used to produce food.
* Opens immediate employment opportunities in harvesting, retailing, and distribution, thus, stimulates new markets locally and nationally.
* Satisfy local demand = less imports = greener solution thus zero carbon footprint. Increased turnover of produce - crops grow faster and more often.
* Harvesting takes place at a more comfortable height - no bending over and better ergonomics. Promote more favorable working conditions.
* A healthier crop using fewer pesticides provides health benefits to the consumer. Improved Quality of Yields - more nutritionally sound and therefore tastes superior.
* Complete control over nutrient balance - controlled growing creates a healthier crop.
* Closed recirculation irrigation system conserves water. Nutrient solutions may be re-used in other areas.
Few parameters that would enhance and enable the growth potential in this sector can be achieved by the following. 1. Single window clearances, without stringent regulations on the import of soil conditioners, hydroponic grow media (cocopeat), Plant Protection Chemicals (PPC), Seeds, grafted cuttings, rooted plants, tissue-cultured saplings, and all planting materials to enhance diversity and try incorporating new species for cultivation to feed the local population.
2. Create “Local” or locally grown stamp to help leverage local farmers for direct entry into co-operatives, supermarkets etc. First preference to locally grown produce.
3. Create “ugly produce” sections for local growers only (as unflavorable local weather conditions or other reasons lead to visual imperfections but with the same taste and nutritional values).
4. All local farms mandatory to adopt Global GAP methods of cultivation to ensure safe & hygienic food, instead of so-called “organic”. Training and educating farmers and cultivation labour to ensure food safety.
5. Source all farm-related services for infrastructure development like greenhouses, irrigation systems, cooling systems, indoor vertical farms, LED/grow lights etc from locally approved vendors – economy
gets stronger and remains within the country. According to a report, food consumption in the GCC is expected to grow at 4.2% CAGR, with cereals leading the regional numbers. A quick rundown of the fastest-growing categories, per country:
* Kuwait’s fastest-growing market is Fruits, at a 7.9% CAGR.
* Oman’s fastest-growing market is Dairy, at a 6.1% CAGR.
* Saudi Arabia’s fastest-growing market is Dairy, at a 5.7% CAGR.
* UAE’s fastest-growing market is Fruits, at a 5.3% CAGR.
* Qatar’s fastest-growing market is Meat, at a 3.7% CAGR.
* Bahrain’s fastest-growing market is Cereal, at a 3.5% CAGR.
With a booming population growth, expected to increase 6.5 million by 2021, and shifting demographics, some key trends are unlocking new opportunities in the market:
* Youth heavily exposed to western diets drive a growing demand for international foods.
*The rise of working women led to growth in ready and packaged meals.
* A more tech-savvy population open new opportunities in retail, with advancements in e-commerce and new outlet concepts such as hypermarkets and food trucks.
* With some of the highest overweight population rates in the world, all GCC countries are looking at healthier products. n
Email: kazabhaskar@gmail.com
April 2021 Floriculture Today
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Video: Babylon Micro-Farms To Expand, Relocate To Richmond
Co-founded in 2017 by University of Virginia students Alexander Olesen and Graham Smith, Babylon Micro-Farms started when Olesen and Smith first designed a low-cost micro-farm to provide nutritious produce for food-insecure refugees in the Middle East
Richmond—Governor Ralph Northam today announced that Babylon Micro-Farms, a Virginia-based company that develops and produces remotely controlled, indoor hydroponic systems for growing fresh herbs, vegetables, and salad greens, will invest $140,000 to expand operations and relocate to the City of Richmond. Babylon’s new location in Scott’s Addition will enable the company to expand its capabilities in manufacturing, software development, and research and development so it can begin distributing nationally and internationally. Virginia successfully competed with Arizona and California for the project, which will create 24 new jobs.
“We are thrilled to celebrate the growth of innovative Virginia businesses like Babylon Micro-Farms,” said Governor Northam. “The company’s dynamic, high-tech systems are helping to address food insecurity during the pandemic and getting fresh, local produce into the hands of more people. This expansion demonstrates the success that entrepreneurs can find in our Commonwealth, while also maintaining a strong commitment to environmental sustainability.”
Co-founded in 2017 by University of Virginia students Alexander Olesen and Graham Smith, Babylon Micro-Farms started when Olesen and Smith first designed a low-cost micro-farm to provide nutritious produce for food-insecure refugees in the Middle East. Motivated by the desire to bring benefits of sustainable hydroponic farming to those who need it most, the pair set out to develop technology that would automate the complex aspects of indoor farming and in doing so, make this transformative method of crop production accessible to anyone. Babylon’s key innovation was developing a technology system that enables its own staff to remotely manage the light, water, and nutrients for its farming systems.
“The demand for Babylon Micro-Farms’ engineered indoor farming systems is growing in assisted living facilities, student centers, restaurants, and across the globe,” said Secretary of Commerce and Trade Brian Ball. “This expansion will enhance the company’s development and distribution of its products, and the addition of 24 new jobs is welcome as we work toward economic recovery amid this global health crisis.”
“Richmond is an exciting city with a rapidly expanding start-up and technology scene,” said Alexander Olesen, CEO, and Co-Founder of Babylon Micro-Farms. “We hope to attract some of the leading talent to our new headquarters in Scott’s Addition.”
The Virginia Economic Development Partnership worked with the City of Richmond to secure the project for Virginia. Babylon Micro-Farms is eligible to receive state benefits from the Virginia Enterprise Zone Program, administered by the Virginia Department of Housing and Community Development. Funding and services to support the company’s employee training activities will be provided through the Virginia Jobs Investment Program.
“Richmond has proven to be fertile ground for innovative companies, and Babylon Micro-Farms’ environmentally friendly, technology-driven, indoor farming methods provide healthy food options for many people,” said Richmond Mayor Levar Stoney. “We’re excited to welcome them to Richmond, and look forward to the company growing its product and its presence in our city.”
“Babylon Micro-Farms’ relocation to the City of Richmond and the expansion of its operations represents an exciting opportunity for the city,” said Senator Ghazala Hashmi. “Not only is the venture bringing new jobs, the company’s use of innovative technologies for indoor farming offers a model for fresh and healthy produce that is grown locally and within urban settings. I am delighted that the company will be a part of Scott’s Addition.”
“We are excited to welcome Babylon Micro-Farms to Richmond,” said Delegate Jeffrey Bourne. “We admire the company’s ingenuity and commitment to sustainability and food accessibility. Its presence will be a great addition to our community as well as create valuable new jobs.”
“Autonomy Will Not Happen Until We Start Sharing Data”
In an emerging industry with companies eager to prove their technologies’ worth, Sensei Ag remains form-factor agnostic, meaning that the agtech company remains unbiased towards different farm hardware solutions – focusing more on software and plant biology. Sensei Ag is a market-changing agtech company that develops agile growing solutions through a highly iterative approach to farming, focused on improving the nutritional quality of fruits and vegetables while also reducing production costs. The company combines plant science, computer vision, machine learning, automation and artificial intelligence into its growing systems
In an emerging industry with companies eager to prove their technologies’ worth, Sensei Ag remains form-factor agnostic, meaning that the agtech company remains unbiased towards different farm hardware solutions – focusing more on software and plant biology.
Sensei Ag is a market-changing agtech company that develops agile growing solutions through a highly iterative approach to farming, focused on improving the nutritional quality of fruits and vegetables while also reducing production costs. The company combines plant science, computer vision, machine learning, automation and artificial intelligence into its growing systems.
According to Sensei Ag CEO Sonia Lo, remaining form factor agnostic is key to the company’s mission of providing hyper-nutritious food to as large a consumer base as possible, which it achieves through both vertical farms and greenhouses.
Image from: Sensei Ag
“We believe that the most robust data comes from operating farms of multiple types. So, not just vertical farms, but also low-tech and high-tech greenhouses. And with vertical farms, we are looking at a number of form factors. Our end goal is to be a grower’s resource and know more about growing at scale with different form factors than anyone else.”
The company is also a strong advocate for open data in the vertical farming industry, which is currently lacking, as evidenced by the siloed development of multiple systems and products, some of which cannot be easily integrated into third-party systems.
“There are lots of data flows and increasingly inexpensive farm management systems. The question, then, is the organization of data into intelligence. Intelligence facilitates autonomy, and as we manage data flows, more farms can become autonomous. But I don’t think autonomy will happen until we start sharing data. For example, we saw an automation supplier with a great robot.
The problem was the robot only works in their ecosystem, so you have to buy the whole farming solution in order for the one robot to work. Ideally, that robot would be plug and play and be able to work in greenhouses and vertical farms,” says Sonia.
Image from: Sensei Ag
According to Sonia, open data in the vertical farming industry may currently be restricted by the dominance of venture financing, which has its own return mandates to fulfill and sometimes wants a “winner takes it all” mentality for the ventures it chooses to back. While such financing has allowed the vertical farming industry to emerge, it may ultimately hinder the industry’s scalability and information sharing.
“There is definitely a capital model in Silicon Valley and in venture capital world in general which is not focused on profitability but is focused on technological achievement and market penetration. We saw this in solar and in the renewables industry when multiple venture capital funds invested in solar assets. Then, the bottom fell out because government subsidies fell away in certain jurisdictions.
I hope that agricultural infrastructure currently financed by venture capital will not necessarily follow the same pathway as solar, but will instead find a public-private partnership model. At some point, these farms need to demonstrate a profit for the debt capital markets to allow scale to occur.”
Image from: Sensei Ag
By embracing open data and transparency, Sonia explains that the vertical farming industry can further mature and iterate with technology to continue lowering costs. By continuously collecting and sharing data from different farm forms, the vertical farming industry would have better insights into the true costs which, according to Sonia, “helps drive scale because it enables the finance community to understand how the farms can be risk assessed and financed.”
Looking ahead, Sensei Ag hopes to form partnerships around the world to bring its innovative, data-driven growing systems across the globe. Taking the Middle East, China and Japan as examples, Sonia explained that the goal would be to choose strategic partners in each region whose local knowledge and business prowess would allow Sensei Ag to iterate its technologies appropriately and serve local markets, bringing cost-competitive farming techniques and nutritious, local produce around the world.
Warehouse Becoming Vertical Farms — And They’re Feeding New Jersey
New Jersey's vertical farms are transforming agriculture by helping farmers meet growing food demand. New Jersey Agriculture Secretary Doug Fisher said that while conventional farming in outdoor fields remains critical, vertical farming has its advantages because of its efficiency and resistance to pests and thus less need for chemicals
Image from: New Jersey 101.5
New Jersey's vertical farms are transforming agriculture by helping farmers meet growing food demand.
New Jersey Agriculture Secretary Doug Fisher said that while conventional farming in outdoor fields remains critical, vertical farming has its advantages because of its efficiency and resistance to pests and thus less need for chemicals.
Vertical farming is the process of growing food vertically in stacked layers indoors under artificial light and temperature, mainly in buildings. These plants receive the same nutrients and all the elements needed to grow plants for food.
Vertical farms are also versatile. Plants may be growing in containers, in old warehouses, in shipping containers, in abandoned buildings.
"That's one of the great advantages — that we can put agriculture in the midst of many landscapes that have lost their vitality," said Fisher.
ResearchandMarkets.com says the U.S. vertical farming market is projected to reach values of around $3 billion by the year 2024.
The one drawback is that its operational and labor costs make it expensive to get up and running.
Image from: AeroFarms
In the past decade, however, vertical farming has become more popular, creating significant crop yields all over the state.
AeroFarms in Newark is the world's largest indoor vertical farm. The farm converted a 75-year-old 70,000-square-foot steel mill into a vertical farming operation. AeroFarms' key products include Dream Greens, its retail brand of baby and micro-greens, available year-round in several ShopRite supermarkets.
Kula Urban Farm in Asbury Park opened in 2014. Vacant lots are transformed into urban farms and there's a hydroponic greenhouse on site. That produce is sold to local restaurants.
Beyond Organic Growers in Freehold uses no pesticides and all seeds and nutrients are organic. There's a minimum of 12,000 plants growing on 144 vertical towers. On its website, it says the greenhouse utilizes a new growing technique called aeroponics, which involves vertical towers where the plant roots hang in the air while a nutrient solution is delivered with a fine mist. It also boasts that by using this method, plants can grow with less land and water while yielding up to 30% more three times faster than traditional soil farming.
Vertical farms in New Jersey help feed local communities. Many are in urban areas and are a form of urban farming.
Fisher predicts that vertical farms will be operational in stores and supermarkets around the state.
"It's continued to expand. There's going to be many, many ways and almost any area in the state has the opportunity to have a vertical farm," Fisher said.
Hydrobuilder Holdings Raises $70 Million And Combines West Coast Hydroponics Chain With Online Retailer
We are excited to bring together two proven leaders in hydroponics e-commerce and brick-and-mortar retail as the initial partnerships within Hydrobuilder Holdings, which we believe is poised to be a leading omni-channel seller of specialty agriculture and hydroponics equipment and supplies
January 15, 2021
Hydrobuilder Holdings Acquires Hydrobuilder.com and GreenCoast Hydroponics to Form a Leading Omni-channel Seller of Specialty Agriculture and Hydroponics Equipment and Supplies
Secures over $70 million in financing from broad base of investors
PALM BEACH, Fla.-January 15, 2021-(BUSINESS WIRE)–Hydrobuilder Holdings LLC (“Hydrobuilder Holdings”) today announced its formation through the acquisitions of Hydrobuilder.com, a leading online retailer of hydroponics and horticultural supplies, and GreenCoast Hydroponics, the second largest hydroponics retailer in the United States, to create a leading omni-channel retailer of specialty agriculture and hydroponics equipment and supplies. Hydrobuilder Holdings secured over $70 million in financing from a broad group of investors, led by Broadband Capital Investments. As part of the transaction, the sellers of both Hydrobuilder.com and GreenCoast Hydroponics retained a meaningful equity stake in Hydrobuilder Holdings.
Hydrobuilder Holdings will be led by Markus Hockenson, Chief Executive Officer, and Avi Levine, Chief Financial Officer, both of whom bring extensive digital and retail experience, and a proven track record of driving revenue, earnings growth and value creation at private-equity owned companies. Hydrobuilder.com and GreenCoast will continue to be operated by their existing management teams under the newly-formed Hydrobuilder Holdings platform and substantially all team members from Hydrobuilder.com and GreenCoast will remain with Hydrobuilder Holdings.
Mr. Hockenson previously served as President and Chief Executive Officer of International Car Wash Group and Vision Group Holdings, and has served in leadership positions at Enterprise Rent-a-Car, Starbucks, Advance Auto Parts, and TBC Corporation (Tire Kingdom). Mr. Levine previously served as Chief Financial Officer of International Car Wash Group, and has additional experience at Deloitte Consulting, Versa Capital Management, Flashpoint College and Driven Brands.
“We are excited to bring together two proven leaders in hydroponics e-commerce and brick-and-mortar retail as the initial partnerships within Hydrobuilder Holdings, which we believe is poised to be a leading omni-channel seller of specialty agriculture and hydroponics equipment and supplies,” said Hockenson.
Hydrobuilder Holdings is uniquely positioned to provide commercial growers and home gardeners with the highest level of service, product selection, education and value.
Markus Hockenson, Chief Executive Officer
With strong investor support and significant follow-on interest from our investors, we have substantial growth capital to execute our organic and M&A growth strategies, and see significant opportunities to expand these businesses in the rapidly growing hydroponics, specialty gardening and controlled environment agriculture (CEA) markets.
Hydrobuilder.com Founder and President, Justin Marshall, commented, “Partnering with GreenCoast and joining Hydrobuilder Holdings is a dream come true. I am incredibly grateful and excited to be working alongside these experts and pioneers within the hydroponics industry as well as professionals from many outside business ventures. The combined knowledge and experience will allow us to take the Hydrobuilder.com platform and apply it to some of the most successful brick-and-mortar stores in our space by utilizing our custom IT infrastructure, which enhances automation while also providing an omnichannel approach to sales for our customers. With this combination, we’ll be able to scale and automate at a far greater speed than what was possible on our own. The amount of industry and historical knowledge will allow us to further position ourselves as a leading online retailer of hydroponics equipment and supplies.”
Jordan Weiss, Chief Executive Officer of GreenCoast Hydroponics, said, “We couldn’t be more excited to see our business develop and grow into an omni-channel national model. This will better integrate and support our customers’ needs across all of our three pillars: e-commerce, retail and commercial. Along with better serving our customers, we feel great about how this partnership will support our employees and the culture that we have worked 20+ years to build.”
Michael Rapp, Managing Partner of Broadband Capital Investments, added, “We are excited to be investing in the formation of Hydrobuilder Holdings. Justin, Jordan, and their respective teams have built best-in-class companies and have deep domain knowledge. Markus and Avi are world-class executives who understand how to drive efficiencies and scale enterprises, both organically and through acquisitions. We are serving a nascent but fast-growing end market and our customers are in need of a local supply chain partner who can offer a suite of products and services to solve problems and add value. We are excited by this opportunity and we look forward to building a leading company in this space.”
About Hydrobuilder.com
Founded in 2011, Hydrobuilder.com is based in Northern California and has rapidly grown to become a leading online retailer of hydroponics and horticultural supplies. The management team previously helped Build.com grow to over $1 billion in sales, and has built Hydrobuilder.com into a complete online hydroponic gardening center that is known for having the top product lines, a fast, user-friendly website and knowledgeable employees.
About GreenCoast Hydroponics
Founded in 1999, GreenCoast is a Southern California-based specialty agriculture/hydroponics products retailer and the largest independent retailer of its kind in the United States. GreenCoast operates 12 stores (10 in California, 1 in Las Vegas, and 1 in Portland, OR), that provide equipment, plant consumable products, and design services to growers ranging from the hobbyist to the largest licensed commercial operators. Senior management is known throughout the industry as experts in design of large-scale industrial growing facilities.
About Broadband Capital Investments
Broadband Capital Investment (BCI) is a boutique merchant bank that invests in high growth industries. BCI (and/or its affiliates) was the founding investor in Vroom.com (Nasdaq: VRM), a leading used car e-commerce company, co-led the management buyout of Hydrofarm Holdings (Nasdaq: HYFM), a leading hydroponics manufacturer and distributor, prior to its initial public offering, and invested in Montrose Environmental (NYSE: MEG), an environmental services provider offering measurement & analytical services as well as environmental resiliency & sustainability solutions.
Published by NCV Newswire
Aponix Upgrades 3D-NFT Vertical Barrels Components To ‘Version 3'
The Aponix vertical barrel system is an alternative vertical NFT solution from Germany that can be used instead of rack systems to use vertical space more efficiently in hydroponic setups and at the same time use natural sunlight better
The Aponix vertical barrel system is an alternative vertical NFT solution from Germany that can be used instead of rack systems to use vertical space more efficiently in hydroponic setups and at the same time use natural sunlight better. The system aims to maximize the number of possible grow spaces per level arranged in a given 3D room by increasing the diameter from a ‘Tower’ to a ‘Barrel’.
The whole system is based on lego-like ring segment pieces that serve either as spacers or provide differently organized inserts for standard 2-inch netpots. Assembling multiple of these ring segment pieces will result in stackable ring segments or barrel levels to assemble one or multiple such vertical cylinders. With more ring segments stacked, the height and the number of grow spaces are increased.
By the end of 2020, Aponix will have developed the new ‘Version 3’ that will incorporate all collected improvements from the existing global user based from the last 3 years and adding a few more features:
Liquid will be guided more precisely inside. It will also have a new more robust and tight connection mechanism and air traps to keep liquid inside also on high flow rates.
There will be a backwards-compatible and reusable grow plug insert, that is supposed to replace 2-inch one-time use plastic netpots also in other systems. It will also have an optional plant trellis insert to grow larger flowers and fruiting dwarf varieties.
There will be a new lid-base that speeds up setup of lines of vertical barrels and enable rotation of the units if needed.
There will also be a dedicated sprinkler dome lid enabling different sprinkler options including own solutions and also the own existing pressure-less irrigation option using the water buffer.
Vertical barrels will be more stable and can be built higher using the new V3 part.
There will only be a single ring segment piece in ‘Version 3’ with 2 grow pod inserts that only allow 2 stacking positions instead of 4 in V2. If spaces are unused they can be capped with a nice green cover plug.
As of 2020. Aponix also changed their market strategy from looking for distributors to starting to work only with product partners who bring in own engineering and create more specific and distinguishable solutions based on aponix components. Aponix parts are now defined as being mere infrastructure parts that always need to be integrated into a greater individual context involving more or less horticulture engineering depending on the application. Which means product partners create their own unique solutions based on aponix components adding other external even competitive pieces, logic and/or service and market them independently under their own brand and own product name.
For more information:
Aponix
hello@aponix.eu
www.aponix.eu
Mon 9 Nov 2020
AmericanHort Adds Two To Its Staff
Holly Scoggins is the new director of educational programming, and Nicolas Leas is the digital web manager
Holly Scoggins (left) and Nicolas Leas (right) Photos courtesy of AmericanHort
Holly Scoggins is the new director of educational programming, and Nicolas Leas is the digital web manager.
November 23, 2019
AmericanHort has added two new staff members: Holly Scoggins, the new Director of Educational Programming, and Nicolas Leas, the Digital Web Manager.
Scoggins has her Ph.D. in Horticultural Science from North Carolina State University and has been a professor in the Department of Horticulture at Virginia Tech since 1999. She has deep experience in areas that include undergraduate and graduate education, research and extension/outreach. She has also led research and education programs in a variety of industry areas.
Scoggins will be based out of Blacksburg, Virginia. She will be combining her expertise with Meagan Nace and help us grow the capacity of the AmericanHort Education Team. She is the president-elect of the Perennial Plant Association and enjoys gardening, beekeeping and saltwater sports like snorkeling and fishing.
Leas was born in Belgium, lived in Switzerland for 11 years and grew up primarily in Dublin, Ohio. He graduated from Ohio State with a degree in international relations and diplomacy and has more than 15 years of experience working in website design and development. His most recent role was with a company in Korea where he designed, managed and developed e-commerce websites in the beauty and pet product industries.
Leas will be the hands-on, digital web expert on our AmericanHort marketing team. He'll be responsible for helping AmericanHort grow and manage our digital content and services including websites, SEO, SEM, email campaigns and more.
He loves to travel, is a fitness buff and is active with Pilot Dogs where he raises and trains future seeing-eye dogs.
Is CEA-Grown Produce REALLY Better For You?
As a lifelong farmer - one who has grown commercially using conventional field techniques, organic soil methods, as well as Controlled Environment ("CEA") technologies, I hope to shed a bit more light on the subject. Maybe you'll like what you hear, maybe you won't. But in either case, I'd love to hear from you
August 18, 2019
Joe Swartz
Vice President/Lead Horticulturalist at AmHydro
I get this question a lot.
More than you might think!
Strong opinions are plentiful.......and misinformation abounds.
As a lifelong farmer - one who has grown commercially using conventional field techniques, organic soil methods, as well as Controlled Environment ("CEA") technologies, I hope to shed a bit more light on the subject. Maybe you'll like what you hear, maybe you won't. But in either case, I'd love to hear from you.
In recent years, the general public has been inundated with media stories about the various Controlled Environment Agriculture ("CEA") technologies. Stories of monumental financial investments and "futuristic" growing technologies seem to have permeated every news cycle and public interest storyline. A quick online search of terms such as "food miles," "climate change," "sustainability," or "urban farming" will likely fill your screen with headline after headline about the latest quest to produce more and better quality food. In fact, if that weren't true......you'd likely not be reading this now.
"Indoor food factories? Shipping container farms? Automated greenhouses? Outdoor fields?..........So what really does grow the best food for myself and my family?"
The simple fact is this:
Whether a crop is grown using CEA techniques in a greenhouse, outdoors in a field, or on the Moon, for that matter, is NOT what will determine it's nutritional value.
The actual nutritional content of any crop is simply a function of 3 basic parameters -
3 and only 3!
They are:
- 1. The particular crop/cultivar - Every plant has a genetic predisposition and physiology - the grower has control of external parameters, but not the internal ones.
- 2. The physical environment the plant was grown in - This is either supplied by nature and/or the grower and includes light quantity and quality, temperature, humidity/ VPD, C02 levels, air movement, etc etc)
- 3. The nutritional/microbial environment available to the plant's root zone - This includes not only the nutrients readily available to the plant, but also root temperature, pH, dissolved Oxygen and the beneficial microbial life in the root zone. This microbial flora is constantly stimulating plant growth, metabolizing waste products, breaking down chemical compounds, and inhibiting harmful pathogens. People tend to underestimate the importance of managing the rooting environment and developing and maintaining these microbes.
That's it! Nothing more and nothing less.
However, even a slight deviation (be it a natural occurrence of an error in your growing) can have HUGE consequences in your crop performance.
This is why many high value producers are moving into using Controlled Environment Ag (“CEA”) growing techniques. CEA allows them to produce crops that are undoubtedly more nutritious and flavorful than many of their conventionally grown counterparts. The ability to optimize these 3 factors is unmatched in appropriate CEA growing techniques - mind you, there are some amazing growers out there on conventional farms, growing fantastic and nutritious food too!
Proper design and application make all the difference in the world!
Using CEA, we can select appropriate varieties (selected for taste and nutrition, rather than the ability to ship thousands of miles and sit on supermarket shelves for days!), provide a near-perfect growing environment, and manage both nutrition and biological activity in the root zone to a very high degree. This also underscores the need to utilize APPROPRIATE CEA technologies! Greenhouse hydroponic, indoor vertical, shipping container farming and more are NOT created equal! Each situation is different, so the choices of the correct technologies are of critical importance.
So, when I am asked, "Is CEA-grown produce really better for you?" I always answer - "It's not quite as simple as that." However, when considering the above-mentioned factors, it is certainly MY preferred method to grow the highest quality, most nutritious and best tasting produce.
There are many ways to grow nutritious, healthy, and sustainable food. This is just one of the many great techniques we use. The more that we can do to support and nurture the PLANT........the better that it will provide for US!
Joe Swartz
VP AmHydro Joe @Amhydro.com
https://twitter.com/HydroConsultant
https://twitter.com/amhydro
https://www.instagram.com/joeswartz1325/
https://www.instagram.com/amhydro/
Published by
Joe Swartz Vice President/Lead Horticulturalist at AmHydro - 35 years as Controlled Environment Ag Consultant and Commercial
#hydroponics #sustainability #green #urbanfarming #urbanag #farming #food #CEA #indoorag #indoo
AmHydro Partnership With Indian Company Moves Forward
Farms2050 plans to be the hub for hydroponics in India and is ready to provide guidance and consultation to those with interest in turn-key hydroponic solutions
With Many Hands And Hard Work, This Multi-Acre Farm Has Been Built From The Ground Up And Is Now Producing Beautifully
Located in Bengaluru, Farms2050 is the largest hydroponic farm in India where water is scarce, agricultural knowledge abundant and the need for sustainable solutions is urgent.
Farms2050 Timeline:
July 2018 - AmHydro sends 2 containers across the ocean
January 2018 - AmHydro production crew travels for installation
April 2019 - Jenny Harris and Joe Swartz visit for additional training
July 2019 - Farms2050 is in full production
Look at this tremendous transformation!
January thru June
If you build it, they will come.
Farms2050 plans to be the hub for hydroponics in India and is ready to provide guidance and consultation to those with interest in turn-key hydroponic solutions.
If you are one of those people, visit their website or sign up below to have your contact info added to our list
Check Out Their Website!
Or Add Your Name to The Contact List
Green Spirit Hydroponics: The UK's Leading Hydroponics Supplier
Hydroponics is an indoor growing method that is growing more and more in popularity each and every day, and the company at the center of all the fuss is Green Spirit Hydroponics.
Green Spirit Hydroponics: The UK's Leading Hydroponics Supplier
This press release was originally distributed by SBWire
Sheffield, England -- (SBWIRE) -- 03/15/2018
Hydroponics is an indoor growing method that is growing more and more in popularity each and every day, and the company at the center of all the fuss is Green Spirit Hydroponics. With a wealth of hydroponics companies and website available for people to choose from we thought that we would look into why Green Spirit Hydroponics is most possibly more popular than any other hydroponics company in the UK, and our findings were as follows:
Green Spirit Hydroponics offer a price match guarantee, meaning that their prices cannot be beaten
Green Spirit Hydroponics offer personalized quotes, enabling people to save money when spending large amounts of equipment
Green Spirit Hydroponics team are experts in hydroponics meaning that they hold a lot of knowledge and can advise and guide wisely
Green Spirit Hydroponics offer fantastic customer support, both when purchasing and ongoing
Green Spirit Hydroponics offer one of the widest ranges of hydroponics supplies, enabling customers to buy everything that they need in one place
A spokesperson and representative from the company was incredibly keen to comment saying, "Incredibly passionate about hydroponic growing here at Green Spirit Hydroponics we try to be as helpful as possibly, not only striving to sell a wide range of hydroponics equipment at low prices, but also ensuring that we are able to guide our customers into making the most out of the products that they purchase from us."
About Green Spirit Hydroponics
Green Spirit Hydroponics is a leading provider of hydroponics equipment and supplies, offering everything that is needed for people to grow hydroponically in the comfort of their own homes. From complete hydroponics growing kits, to individual hydroponics items, whatever you are looking for, if it is hydroponic related, they are bound to be able to assist you.
For full company details and to browse their vast and impressive hydroponic collections do not hesitate to visit their website today: https://www.greenspirit-hydroponics.com/.
PR Contact
Company Name: Green Spirit Hydroponics
Website URL: http://www.greenspirit-hydroponics.com/
Contact Name: Samuel Bullivant
Contact Number: 0114 2753353
Contact Email: sam@greenspirit-hydroponics.com
Address: 230 Unit 5 Woodbourn Road Sheffield S93LQ
For more information on this press release visit: http://www.sbwire.com/press-releases/green-spirit-hydroponics-the-uks-leading-hydroponics-supplier-948912.htm
Media Relations Contact
Samuel Bullivant
Green Spirit Hydroponics
Telephone: 0114 2753353
Email: Click to Email Samuel Bullivant
Web: http://www.greenspirit-hydroponics.com/
Read more: http://www.digitaljournal.com/pr/3696681#ixzz59sUtoUhQ