Saudi Arabia-based agriculture technology company Red Sea Farms has raised $16 million in an oversubscribed investment round in order to expand its operations in the Middle East region.
According to the company statement, “A $10 million investment target has been exceeded. Strong confidence raised $16 million from leading Saudi, UAE, and USA investors. This oversubscribed, pre-series A investment in Red Sea Farms cements confidence from international, regional, and local investors in the burgeoning Saudi and Middle East AgTech sector.”
The new investment intends to help the company expand its operations in Saudi Arabia and the Middle East region. Further, it aims to explore expansion potential in the United States.
The initial investment of $10 million came from a group of Saudi and UAE investors including the Aramco venture Wa’ed, the Saudi government-owned Future Investment Initiative Institute, KAUST, and Global Ventures, a UAE venture capital group. Furthermore, AppHarvest and Bonaventure, two US-based investors, expressed interest and invested the remaining $6 million.
“Red Sea Farms is thrilled to have substantially exceeded its target for the current funding round. We look forward to working closely with our investors and our Red Sea Farms team to accelerate plans to roll out our technology in Saudi, the Middle East, and North America regions.”
Potential investors are already looking into becoming a part of Red Sea Farms’ next round of fundraising, which will take place in 2022, reflecting the growing trend of investing in sustainable projects that contribute to the UN Sustainable Development Goals while also meeting environmental, sustainability, and governance principles, as per the agritech company.
Red Sea Farms
Established in 2018, Red Sea Farms delivers smart and environmentally sustainable innovative agriculture systems to produce organic, pesticide-free, premium, and delicious vegetables. Red Sea Farms came together with a joint mission of global food security to positively impact numerous food-insecure regions of the world financially, environmentally, and nutritionally.