Agrinam Acquisition and Freight Farms, an agtech company focused on sustainable, hyper-local and ultra-fresh food production, today announced a definitive business combination agreement. Agrinam will acquire all of the outstanding shares of Freight Farms by way of a triangular merger including an Agrinam subsidiary. The proposed deal reflects a pro forma enterprise valuation of approximately $147 million.
Freight Farms and Agrinam last month announced a letter of intent for a merger. Agrinam trades on the Toronto Stock Exchange.
The parties intend to raise a $20 million PIPE from Agrinam’s sponsor and certain strategic and financial investors. Agrinam’s sponsor has already delivered $4 million to Freight Farms.
Founded in 2012, the target is engaged in modular controlled environment agriculture with over 600 modular farms sold across 40 countries. Freight Farms’ diverse client portfolio includes hundreds of for-profit farmers as well as an expanding set of farmers in segments such as education, hospitality, healthcare, grocery, food banks, and non-profit community organizations. To date, Freight Farms has raised over $43 million in external funding. Read more.
