Infarm Re-emerges After Administration With a New Strategic Focus

Infarm’s Path From Rapid Expansion to Administration

Infarm’s Growth and Subsequent Financial Collapse

Founded in Berlin in 2013, Infarm quickly became one of the most prominent names in vertical farming, expanding across Europe, North America, and Asia through partnerships with major retailers and large-scale growing centers. At its peak, the company reached unicorn status and positioned itself as a technology-driven leader in urban food production.

However, rising energy costs, operational inefficiencies, and the capital intensity of large-scale vertical farming increasingly strained the business. Beginning in late 2022, Infarm announced workforce reductions, facility closures, and a strategic shift toward return on investment. These measures proved insufficient, and in September 2023, Infarm – Indoor Urban Farming GmbH entered administration in the UK and Wales, with restructuring processes also impacting operations in Germany and other regions.

Asset Sale and Formation of a New Entity

Infarm Technologies Limited Acquires Core Assets

According to reporting by Sifted, the assets of the former Infarm business were acquired by a newly created entity, Infarm Technologies Limited, for just over €40 million. Court documentation related to the transaction shows that the intellectual property of the former Infarm entity was assigned a nominal value of €1.

The acquisition allows the new company to operate independently from Infarm GmbH. However, it does not eliminate liabilities or legal actions associated with the former business, which remain tied to the original corporate entity.

New Commercial Direction

Targets Kosher, Insect-Free Produce in North America

Infarm Technologies Limited has adopted a significantly narrower business strategy than its predecessor. The company is now focused on producing kosher, insect-free salad leaves grown in controlled-environment facilities, with current operations centered in Toronto, Canada.

The company is targeting North American markets, particularly Jewish communities in the US Northeast, positioning regulatory compliance and controlled production environments as key market differentiators. This places Infarm in competition with other vertical farming operators, including Bowery Farming, which is also active in the kosher produce segment.

Ongoing Legal and Market Pressures Facing Infarm

Legal Proceedings and Sector-Wide Challenges

Despite the restart under a new entity, legal issues connected to the former Infarm company persist. These include a lawsuit filed by a former investor alleging that misleading information was provided during earlier investment rounds.

At the same time, the vertical farming sector continues to undergo consolidation, with investors placing increased emphasis on capital efficiency, energy economics, and realistic scaling strategies. Infarm’s restructuring and relaunch reflect a broader industry shift away from rapid global expansion toward more specialized and regionally focused business models.