Today our portfolio company, AppHarvest, began trading on the Nasdaq following a merger with Novus Capital Corp, a publicly traded special purpose acquisition company. We are thrilled to see AppHarvest achieve this exciting milestone which we believe will amplify their growth trajectory and accelerate their mission to build a more resilient and sustainable food system while supporting local economies in Appalachia.
AppHarvest is a leading AgTech company and Certified B Corp, who are redefining and transforming American agriculture by developing modern, large-scale and efficient indoor farms in Central Appalachia, a water-rich region strategically located within a day’s drive of approximately 70% of the U.S. population.
The company operates a 60-acre controlled environment agriculture facility in Morehead, Kentucky — one of the largest high-tech greenhouses in the world — and has an active development pipeline for up to 12 large-scale indoor controlled-environment farm projects through 2025. Since the announcement of their business combination with Novus, AppHarvest has accelerated key commercial outcomes including announcement of two additional high-tech controlled environment agriculture facilities, on 15 acres in Berea, Kentucky and 60 acres in Madison County, Kentucky, and their first harvest of Beefsteak tomatoes from its flagship indoor farm in Morehead.
AppHarvest is committed to ESG principles and social impact. They sustainably grow affordable, nutritious, chemical pesticide-free non-GMO fruits and vegetables at scale using 90 percent less water than traditional open-field agriculture and 100 percent recycled rainwater. Through partnerships and the latest, proven technologies, the company focuses on sustainably increasing crop yields, improving access to nutritious, non-GMO food, and building a consistent and safe U.S.-grown food supply for national grocers, and increase investment and employment in Appalachia.
“Today marks an important milestone for AppHarvest and for American agriculture as we drive the next chapter of our growth as a public company,” said Jonathan Webb, Founder and Chief Executive Officer of AppHarvest, “The capital we raised in this transaction will further advance our mission of transforming agriculture by developing large-scale sustainable food production in the heart of Central Appalachia. We currently import nearly half of all fresh vine crops sold in the U.S. To create a more resilient food system, we must farm more efficiently and closer to where the food is needed.”
Following the merger with Novus Capital Corp, the combined company is named AppHarvest, Inc. and its common stock and warrants commerced trading on Nasdaq under the new ticker symbols “APPH” and “APPHW,” respectively. AppHarvest has qualified to list on the Nasdaq Global Select Market, which is the highest of three tiers based on certain financial, liquidity and corporate governance requirements that the company met. The combined company will be led by Jonathan Webb, AppHarvest’s Founder & Chief Executive Officer.
In our recent report Growing Beyond the Hype: Controlled Environment Agriculture, S2G predicts that the U.S. CEA market will grow 5x over the next ten years and lead to differentiated, quality products, cost-competitive pricing and a more resilient, traceable and trustworthy supply chain. AppHarvest’s launch to the public markets today mark a big step to achieving that vision.
Congratulations to Jonathan Webb and the AppHarvest team on this exciting milestone in your journey.
At S2G, it's our mission to back trailblazing entrepreneurs who are working to build a healthier and more sustainable food system. Entrepreneurs are on the frontlines every day, working hard to innovate and bring new products to market that are making food healthier, more sustainable and more accessible. It’s our goal to support them in their journey and we look forward to continuing to support entrepreneurs that create better outcomes for human health and well-being. We invite you to learn about the innovative companies in our portfolio and hear their stories on our blog Seeding Change and podcast Where We Grow From Here.