Saudi-based AgTech start-up raises $16m in funding
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Red Sea Farms is a Saudi-based agricultural technology start-up. We can also call this agricultural technology as AgTech because this term is getting popular among entrepreneurs more than ever. Red Sea Farms has recently raised $16 million in an oversubscribed investment round. This start-up company has allowed itself to expand its operations all over Saudi Arabia. The company has also considered expanding its growth in the all-over Middle East and North America as well.
Red Sea Farm has tis own unique ideas to revolutionize the usage and purification of saltwater. This company has invented its own method and technology which will enable us to use salt water and solar energy in commercial farming. Though this method is not actually new because in the desert regions this method has already been used and this method has already proven as a successful method. In the desert regions as there is a lack of fresh water and there is enough sunlight, this method has been effective over these regions.
Red Sea Farm has invested $10 million in the initial stage of its business. But after the fundraising, the company has added $6 million for the growth of its company. According to the company the Saudi, UAE and US investors has boosted their confidence to bring national and international fame to the organisation. They have also contributed to making it one of the most successful AgTech industries in GCC.
Red Sea Farm CEO Ryan Lefers commented “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”.
This funding will be used to expand the company’s opportunities in Saudi and Middle East. The fund will also be used in exploring the international opportunities for the company to grow its business worldwide. The company will also try their luck in those parts of the world where it will be difficult for them to grow this business, such as some parts of the US.
The main investors for the Red Sea Farm are international companies such as the Aramco venture Wa’ed, the Saudi government-owned Future Investment Initiative, Institute, KAUST and Global Ventures and a UAE venture capital group. This company has been able to raise $10 million in total. International firms such as the Aramco venture Wa’ed, the Saudi government-owned Future Investment Initiative, Institute, KAUST and Global Ventures, and a UAE venture capital organisation are the principal investors in the Red Sea Farm.
Many other companies are showing their interest in investing to promote the growth of Red Sea Farm. Companies such as AppHarvest which is a US applied technology company and has opened up some of the world’s largest indoor farms in Appalachia and Bonaventure has provided $6 million for Red Sea Farm.
Companies from UAE and Saudi Arabia has been investing heavily in AgTech innovations such as the Red Sea Farm. These AgTech companies have also been responsible for promoting
