Key Takeaways
- Grove has closed a $5M Seed funding round led by Outliers VC with angel investor participation.
- The Riyadh-based company operates a vertically coordinated fresh-produce model.
- Grove aims to align production with consumer demand to improve quality and reduce waste.
- The platform reports repeat-purchase rates near 48% and food waste below 5%.
- The funding will support the expansion of Grove’s technology-enabled supply chain.
Grove Raises Seed Capital to Address Structural Gaps in Fresh Produce
Grove, a Riyadh-based technology company focused on the fresh-produce sector, has closed a $5M Seed funding round led by Outliers VC, with participation from a group of angel investors. Founded in 2024 by Mohammed bin Ghanam and Ayman AlFifi, Grove operates as a consumer brand connecting farms, markets, and households through a vertically coordinated supply chain.
Saudi Arabia’s agricultural sector is valued at approximately $31.5B, with imports of plant-based products projected to reach $10.7B in 2025. Despite this scale, Grove points to a structural disconnect between local production practices and evolving consumer expectations around freshness, quality, and nutritional value.
Reframing Supply Chains Around Consumer Demand
According to Grove, many existing supply chains were designed to prioritize long storage and transportation timelines, resulting in inconsistent quality, limited variety, and reduced shelf life. These systems are often influenced by short-term commercial incentives driven by intermediaries rather than by the needs of farmers or end consumers.
This dynamic has contributed to practices such as premature harvesting and production decisions focused on volume over quality. Grove argues that such approaches restrict farmers’ ability to invest in improved methods, reduce consumer trust, and increase environmental pressure through inefficient water use, pesticide overapplication, and soil degradation.
Grove’s model seeks to reverse these trends by aligning production planning, pricing, and market access from the earliest stages. Its demand-driven approach is designed to reward quality, improve transparency, and reduce food waste across the supply chain.
Early Performance Indicators and Operational Model
The company reports strong early traction, with repeat-purchase rates approaching 48% and food waste reduced to below 5%. Grove attributes these outcomes to clearer demand signals for farmers and a more direct connection between production and consumer preferences.
“For generations, farming was rooted in responsibility to the land and community,” said Mohammed bin Ghanam, Co-founder of Grove. “At Grove, we are restoring that balance by equipping farmers with the data, tools, and incentives needed to protect resources and build for the future.”
Ayman AlFifi, Co-founder of Grove, added that the company is focused on building supply chains optimized for quality rather than speed. “Grove is building a practical, scalable alternative that proves better food can also be commercially viable and sustainable,” he said.
Investor Perspective and Next Steps For Grove
Mohammed AlMeshekah, Founder and General Partner at Outliers VC, said the investment was driven by Grove’s integrated approach to reconnecting farmers and markets. He noted that the model positions the company to contribute to a more resilient and sustainable food system in Saudi Arabia.
Grove stated that the Seed funding will be used to scale its operations and further develop its technology-enabled supply chain.
