Indigo Agriculture today announced the closing of its most recent financing round. The $200M round included new investor FedEx, and new lender Pacific Western Bank as well as existing investors, bringing Indigo’s total capital raised to approximately $850 million.
“Indigo and The Terraton Initiative offer promising solutions to address climate change,” said Frederick W. Smith, Chairman of FedEx. “The sustainability of our environment is a strategic focus area for FedEx, and we look forward to supporting Indigo’s efforts to transform agriculture into a scalable, affordable, and immediate approach to reducing atmospheric carbon dioxide.”
“In the past year, Indigo has seen continued growth across all of its business lines, from Grain Marketplace to Carbon to Transport,” said David Perry, Indigo’s CEO. “With over 10,000 growers and nearly half of all buyer facilities in the U.S. enrolled in Grain Marketplace, we are seeing a shift towards the use of technology to create a de-commoditized market.”
The new capital will support the global growth of Indigo Grain Marketplace, an ecommerce platform that connects farmers directly with buyers of their crops. The platform has seen month-over-month transaction growth of 50%-100% during the second half of 2019.
Since its public launch in September of 2018, over $300 billion worth of bids has been placed through Indigo’s Grain Marketplace. The financing will also propel the adoption of Indigo Carbon–a market providing growers financial incentives to enrich their soils–with the deployment of technological solutions that will make measuring, monitoring, and verifying soil carbon levels accurate and affordable.
Indigo Carbon is part of The Terraton Initiative, a global effort to draw down one trillion tons of carbon dioxide to enrich agricultural soils. Growers have expressed more than 14M acres of interest since the program’s launch in June of 2019.
“In 2020, Indigo intends to focus its efforts on the marketplace businesses that are experiencing exponential growth, with a goal of generating positive operating cash flow near the end of the year and for the full year 2021,” concluded David Perry.