Vertical farming company Infarm’s new UK entity has filed a legal document announcing its intention to appoint administrators — a step that is typically taken when a company is insolvent or about to become insolvent, according to court records accessed via Caseboard.
The notice was filed on Wednesday by Infarm Technologies Limited — an entity setup by Infarm’s founders that acquired the original company’s assets after it declared insolvency in its major European markets in 2023.
Infarm’s new venture is legally based out of the UK — where two of its cofounders live — while operating in Canada.
Sifted has contacted Infarm for comment.
Rising from the ashes
Infarm was once one of the tech darlings of the European tech scene. It had 1,400 farms and 1,000 employees across 10 countries globally. It raised nearly $500m from investors like Balderton and Atomico and hit a valuation of $1bn.
However operational inefficiency, rising energy prices and an inability to compete with traditional growers made it hard for the company to turn a profit. Towards the end of 2022, Infarm announced it would be laying off 500 employees, roughly half its workforce.
After the company was declared insolvent in many European markets, in September 2023, founders Guy Galonska, Erez Galonska and Osnat Michaeli registered a new entity in the UK, initially called May Acquisitions, and later changed its name to Infarm Technologies Limited.
That new entity purchased business records, contracts, intellectual property, plant and machinery and sales information from the original Infarm entity in December 2023 for €40m. A loan given to the previous Infarm entity by TriplePoint Private Venture Credit, a US lender, was transferred to the new Infarm, according to administration documents.
Sifted understands that the company has now focused its operations on growing kosher salad leaves in Canada. Administration documents show that the new Infarm entity purchased just one plant from the old Infarm: the Canadian facility.
