Crysp Farms, a GCC-based operator of decentralized vertical farms has secured a $2.25 million ‘Pre-Series A’ round structured and led by Gate Capital with participation from regional investors including from the UAE and Saudi Arabia.
The homegrown ‘Farming as a Service’ provider builds and operates bespoke onsite hydroponic farms catering to hospitality groups, healthcare facilities, restaurants, and hypermarkets.
Notably, its produce is served in venues recognised by the leading awards and guides, such as Gault&Millau and Michelin. In a statement, the company said the funding will be used to scale its expansion strategy across the region and deliver committed contracts internationally.
The hyperlocal farming provider is targeting a gap in the food security agenda by providing continuous access to onsite fresh produce while reducing greenhouse gas emissions, a key objective of COP28. Although the Food and Agriculture Organisation of the United Nations (FAO) revealed that 30-40% of total food production is lost before it even reaches the consumer Crysp Farms has said its farms have close to zero spoilage.
In addition to the benefits of controlled environment agriculture using hydroponics, Crysp Farm’s business model is rooted in a simple principle: delivering the freshest ingredients directly to tables with minimal steps. By doing this, it is aiming to meeting a growing demand for high-quality, and locally sourced produce.
Crysp Farms is planning to introduce new farms in several prestigious hotels and resorts in 2024
As part of the expansion, the company is planning to introduce new farms in hotels and resorts managed by Hilton Worldwide, Jumeirah Group and Marriott International, among others, while it has partnered with five new properties in the last month, bringing its sustainable farms to more than 20 locations across the UAE. Additionally, there are further plans in the pipeline to expand to international destinations such as the Seychelles and Maldive.
Most imminently, the business said it will target expansion into Saudi Arabia, enabling and enhancing local food production through innovative technology, in line with Saudi Vision 2030.
Speaking about the investment round, Maan Said, CEO and founder of Crysp Farms said, “This financial and strategic investment opens up opportunities and enables the business to scale exponentially across our target markets. Through our partner relationships, we are eager to create a more sustainable world through hyperlocal farming. We are proud to receive the support of Gate Capital and other leading investors in this round, as we look forward to sustainably scaling our operations.”
Munther Hilal, Chief Executive and Founder of Gate Capital added, “Crysp Farms has grown from an innovative idea to disrupt agriculture into a tangible green investment opportunity, with sturdy unit economics and a strong foundation paving the way for scalable growth. Gate Capital’s continuous commitment to ESG-led businesses is a testament to identifying impact investment opportunities.”
