Dive Brief:
- Cox Farms, a recently launched subsidiary of telecommunications conglomerate Cox Enterprises, said it is now the largest indoor farming operator in North America following its latest acquisition of a greenhouse facility in Canada.
- Cox-owned Mucci Farms added to its footprint with the acquisition of Greenhill Produce, a nearly 150-acre facility in Kent Bridge, Ontario, that specializes in bell peppers. Financial details were not disclosed.
- The purchase gives Cox Farms more than 700 acres of greenhouse space across its two brands. In addition to Mucci Farms, Cox also owns leafy greens grower BrightFarms.
Dive Insight:
Since launching in March, Cox Farms has embarked on a rapid acquisition spree and doubled the acreage across its two brands in roughly nine months.
“Seeing Cox Farms become North America’s largest greenhouse operator is a proud moment for us,” Alex Taylor, chairman and CEO of Cox Enterprises, said in a statement. “Through innovation and a commitment to sustainability, Cox Farms is not only providing fresh food options to millions but is also setting a powerful example of building a better future in agriculture.”
Cox Farms is bullish on indoor farming despite a broad downturn in the sector that has pushed many of its competitors out of business. Earlier this month, celebrity-backed Bowery Farming shuttered operations and laid off workers in part due to a lack of financing.
Unlike its startup peers, financing is less of an issue for Cox Farms. Owner Cox Enterprises boasts $23 billion in annual revenue, primarily through its communications and automotive subsidiaries.
The purchase of the Ontario greenhouse advances Cox Farms’ goal of becoming a “leading supplier of sustainably grown fresh fruits and vegetables in North America,” according to a statement. Mucci Farms will continue cultivating bell peppers at the Greenhill facility, though will explore opportunities to diversify its crop portfolio.
Cox Farms has over 2,500 employees and harvests more than 450 million pounds of produce annually, including leafy greens and vine crops like tomatoes and strawberries. The company has been rapidly expanding both of its subsidiaries, and in September opened one of three regional greenhouse hubs for BrightFarms as it builds out a national supply chain for the brand.
“Cox Farms is building the leading indoor farming company in North America,” Steve Bradley, President of Cox Farms, said at the time. “With the growing consumer preference for fresher, more responsibly-grown produce, especially in the salad category, we are continuing to invest to meet the ever-increasing demand.”