Infarm

Infarm was a vertical farming company originally founded in Berlin, Germany, in 2013 by Osnat Michaeli and brothers Erez and Guy Galonska. The company pioneered modular, hydroponic farms designed for urban environments, bringing food production closer to consumers through installations in supermarkets, restaurants, and distribution centers. Once valued at $1 billion, Infarm experienced rapid growth, significant investment, and eventual financial decline before restructuring under a new entity based in the United Kingdom.

Infarm's History

Infarm was founded in 2013 with the goal of making cities more self-sufficient by growing fresh produce indoors. The company's technology was centered around modular hydroponic units that could be installed close to consumers, reducing the need for long-distance transportation and extensive resource use. Its early growth was fueled by a vision to create a sustainable, climate-resilient food system that minimized land and water usage.

Expansion and Funding

Between 2016 and 2021, Infarm expanded rapidly, deploying over 1,400 farming units across 10 countries. At its peak, the company employed around 1,000 people. High-profile partnerships with major retailers such as Whole Foods Market, Marks & Spencer, Selfridges, and IKEA helped increase visibility and market penetration.

Infarm raised nearly $500 million from investors, including Balderton Capital, Atomico, and the Qatar Investment Authority, reaching a $1 billion valuation. The company also opened major facilities in Bedford (UK) and Maryland (USA) and announced plans for expansion in Qatar and across the Asia-Pacific and Middle East regions.

Challenges and Decline

Despite impressive growth, Infarm struggled to reach profitability. The company cited rising energy prices, supply chain disruptions, and operational inefficiencies as key challenges. In late 2022, Infarm laid off about 500 employees—half of its workforce—and began consolidating operations to focus on more profitable markets like Frankfurt, Copenhagen, and Toronto.

By September 2023, Infarm had entered insolvency proceedings in several major European markets, including the UK and Netherlands. Assets and intellectual property were sold to a new UK-based company—May Acquisitions, later renamed Infarm Technologies Limited—for over €40 million. The company ceased operations under its original legal structure in Europe.

Infarm's Restructuring and Rebirth

Under the new entity, Infarm Technologies Limited, the company shifted its legal headquarters to London, while operating primarily from Canada. The revived Infarm focused on high-margin niche markets, such as the production of kosher, insect-free salad leaves, targeting Jewish communities in North America.

The new strategy aimed to overcome previous challenges by focusing on specialized markets and optimizing for profitability rather than scale.

Operations

Infarm’s original operations included in-store units and large Growing Centres supported by cloud-connected technology. These systems allowed real-time monitoring of crop health and environmental parameters.

Key locations included:

• Frankfurt (Germany)
• Bedford (UK)
• Maryland (USA)
• Copenhagen (Denmark)
• Toronto (Canada)

Following restructuring, the company closed its facilities in the UK, France, Netherlands, Japan, and eventually also Frankfurt and Copenhagen.

Sustainability and Innovation

Infarm positioned itself as a sustainability-driven company:

• Became a B Corporation in 2023.
• Published a comprehensive Sustainability Vision.
• Set a goal to become net-zero by 2045, submitting targets to the Science Based Targets initiative (SBTi).
• Partnered with Carbmee to track Scope 3 emissions.

In 2022, Infarm made headlines for becoming the first vertical farming company to grow wheat indoors, achieving yields up to 26 times greater than traditional outdoor farming.

Infarm also co-hosted the Food Systems Pavilion at COP27, working with organizations such as Yara, EIT Food, and the Good Food Institute.

Infarm's Partnerships

Notable collaborations included:

• IKEA: Growing herbs in-store at IKEA locations in Germany.
• Whole Foods Market and Marks & Spencer: Supplying leafy greens and herbs.
• Qatar Investment Authority: Led a major funding round in 2021.

Read the company's most recent news here.