In what could be the first move of its kind for a massive retailer, Walmart is investing in an indoor vertical leafy greens grower: Plenty Unlimited Inc., based in South San Francisco.
Bentonville, Ark.-based Walmart’s equity investment is part of a $400 million Series E funding round that’s still subject to a regulatory approval and is part of a broader strategic partnership to use this technology to deliver fresh produce to Walmart retail stores, according to a news release.
Walmart will also join Plenty’s board of directors.
The long-term commercial agreement allows Walmart to source Plenty’s leafy greens for all its California stores from Plenty’s Compton farm starting later in 2022. Walmart is the first large U.S. retailer to significantly invest in vertical farming, according to the release.
“We believe Plenty is a proven leader in a new era of agriculture, one that offers pesticide-free, peak-flavor produce to shoppers every day of the year,” Walmart U.S. Chief Merchandising Officer Charles Redfield said in the release. “This partnership not only accelerates agricultural innovation, but reinforces our commitment to sustainability, by delivering a new category of fresh that is good for people and the planet.”
Learn more about salad vegetables.
Plenty’s indoor farming architecture combines engineering, software and sustainable crop science to grow multiple crops on one platform — fast. With many U.S patents, this proprietary tech focuses on efficient use of water and land. Also, by building farms closer to the consumer, Plenty helps reduce transportation and food waste, keeping items fresher for longer in 100% recyclable product packaging.
Vertical farming can supplement traditional farming practices to help increase food supply and alleviate current challenges on the food system in a sustainable way.
“Our farms can be sited anywhere, allowing us to put fresh fruits, greens and vegetables on shelf at all times, at speed, for maximum freshness,” Plenty CEO Arama Kukutai said in the release. “This is a game-changer for the agritech industry.”
Walmart has about 10,500 stores and clubs under 48 banners in 24 countries and eCommerce websites. With fiscal year 2021 revenue of $559 billion, Walmart employs 2.2 million associates worldwide.
Besides Plenty’s California headquarters, the company operates an indoor plant science research facility in Laramie, Wyo. Also, Plenty is building a vertical, indoor farm in Compton, Calif.
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