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Transcript of AgFunder AgTech Investing Report 2014
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AGTECH FUNDING REPORT 2014: YEAR IN REVIEW | AGFUNDER.COM
AgTechInvesting ReportY E A R I N R E V I E W 2 0 1 4
MARCH 3, 2015
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AGTECH INVESTING REPORT 2014
INTRODUCTION
AGTECH FUNDING REPORT 2014: YEAR IN REVIEW | AGFUNDER.COM
The AgTech sector had a record breaking year in 2014, with $2.36B invested across 264
deals. The big takeaway is that agriculture is being transformed by a confluence of new
technologies drawn from many industries: from genomics and non-GMO crop technologies,
to drones and the Internet of Thing (IoT) that give farmers real-time information, to protein
substitutes that threaten to disrupt the meat industry, and delivery services that threaten to
disintermediate traditional grocers and connect farmers more directly with consumers.
The opportunity for technology to modernize agriculture is massive. Agriculture is a $6.4T
global industry that employs 1.3B people worldwide and new technologies are emerging
which are promising to transform agriculture from a calcified industry to a tech industry as it
races against a growing population and middle class, changes in taste and diet, and faces its
impact on the environment.
This is the most complete profile of AgTech funding activity to-date to provide investors,
entrepreneurs, and industry participants with proof of this expanding sector. Like cleantech,
which was orientated around diverse technologies dealing with energy, efficiency, and
sustainability; AgTechs north star looks to the agriculture value chain and the
diverse technologies that directly touch the industry.
AgFunder is an online equity
crowdfunding platform for
agriculture technology. We
help Accredited and
Institutional Investors
discover & invest in
developing technologies to
transform the agriculture
industry.
Learn more @
www.agfunder.com
Authors: Melissa Tilney,
Rob Leclerc, and Emily Demarest.
Design: Simona Barta
Still on our mission to feed 10B by 2050!
Rob Leclerc, AgFunder CEO
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ScopeThis financing report encompasses 264 financings of technology
companies within the global agriculture value chain for 2014.
Data was collected from a variety of sources, including
CrunchBase, press releases, articles, U.S. Securities and
Exchange filings, and direct sources.
The agriculture sector is one of the largest and most important
sectors of the economy, representing nearly 8.5% of Global
GDP. However, this size comes with tremendous diversity. The
sector is centered on cultivation of plants, animals, and other
living organisms for food, materials, biofuels, chemicals, and
medicinals. It also encompasses the rest of the agriculture value
chain, including inputs, storage, processing, packaging,
transportation, infrastructure, finance, health, and safety, as well
as marketing and retail services that connect these products to
consumers.
Drawing the line between AgTech and consumer technologies
was not easy. While restaurant-to-customer food delivery may
technically fall within the agriculture value chain, we ultimately
felt that these services were unlikely to have a disruptive effect
on other areas of the agriculture value chain, therefore, we
excluded these companies from our analysis. In contrast, we
included grocery delivery services like Door to Door Organics
which raised a $25.5 million Series B from the Arlon Group (the
food and agriculture focused investment arm of Continental
Grain). Unlike restaurant delivery, grocery delivery services like
Door to Door Organics and Instacart have a significant
opportunity to disrupt the entire supply chain that sits
between the farmer and the consumer. For clarity we grouped
Food Ecommerce and Farm 2 Consumer (F2C) marketplaces
separately.
Similarly, there was a fine line between food technologies and
food products, and so the inclusion of food technology
companies was limited to companies that had a potential impact
on the rest of the agriculture value chain. Companies like
Hampton Creek, Beyond Meat, and Modern Meadow are all
developing technologies that could have significant impact onthe use of animals in agriculture, and so these were included.
For other technologies, such as drones, LEDs, sensors, and
biotech, in which application spans a number of sectors, we only
included those companies that self identified agriculture as a key
market.
Methods
METHODS
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Tagging and CategorizationTo help categorize the companies, we first generated a set of 30
keywords and tagged each companys CrunchBase description
when it contained the keyword. We then manually curated the
list to ensure that keywords were properly appliedin some
cases removing tags, in others adding tags. Using the tags,
description for each company (and sometimes the companys
website) and seeing a sufficient concentration of investment or
deal volume, we then assigned each company to a category soas to capture groups of companies that shared similar tags, and
which were relevant either by number of deals or by total
funding.
Data Limitations
Because the U.S. Securities and Exchange Commission (SEC)
requires companies to publicly file their financings with the SEC,
there may be many more non-U.S. companies that receivedfinancing in 2014, but which are absent from our analysis.
Undisclosed Financings
Of the 264 financings in our data set, twenty-two had
undisclosed financings that could not be determined through
SEC filings or direct sources. We were often able to obtain
financing figures from the companies themselves, but they
requested that we did not disclose exact figures. We excluded
undisclosed financings in which we computed averages and
median values.
Multiple Financings
Several companies closed multiple financings in the period
between January 2013 to the end of 2014. While CrunchBase
data was generally accurate, there were instances whereCrunchBase data double counted financings on a cumulative
raise. To correct for double counting, we filtered our l ist to all
companies that raised capital in 2013 and also in the first six
months of 2014. We then manually searched the SEC filings and
cross referenced with press releases to ensure that we were
recording the balance of an amendment.
In some cases, CrunchBase displayed multiple financings in thesame year, but upon closer examination of the SEC filings, we
discovered that these were often part of the same round. When
multiple financings represented rolling closes from the same
round, we compounded all smaller financings into the largest so
as to not inflate the total number of deals.
Methods (Continued)
METHODS
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YEAR IN REVIEW
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271
Unique Investors
264
Deals
$2.36B
Invested
OVERVIEW 2014
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1. AgTech as a Sizeable Investment ClassAgTech had a breakout year in 2014 in terms of deal volume
and investment totals. Our analysis of AgTechs $2.36B in
financing over 264 deals in 2014 shows that AgTech received
more financing than seven of the 19 sectors tracked by
MatterMark1and is on par with venture funding for security
companies ($2.3B), and ahead of cleantech ($2.0B) and fintech
($2.2B).
2. The Emergence of Precision AgPrecision agriculture is broadly defined as the group of
hardware and software technologies that help farmers improve
decision-making with data-driven analytics. Companies can be
analytics providers or provide supporting technologies, such as
drone platforms that have identified agriculture as a key vertical.
Precision ag represented 30% of AgTech deals in 20142, but
received only 12% of investment capital. Most investmentcentered on early stage opportunities: 83% of the deals were
Seed or Series A, with median deal size of $1.15M. FarmLink
($40M) and Airware ($25M) stood out at later stage companies
that received significant financing.
We anticipate that large, stand-alone companies will emerge as
the space matures, and this may trigger consolidation and M&A.
3. Bullish Bets Were Made in FoodTechAt the other end of the agriculture value chain spectrum,
foodtech3companies saw $679M in financing over 59 deals.
Dominating this group was grocery delivery service Instacart
($260M), and Hampton Creek ($113M), which is aiming to
disrupt the poultry industry with a plant-based egg. Together,
these two companies represented over 50% of the total
foodtech financing. Overall, sustainable protein also attracted
some of most elite firms in Silicon Valley, as these companies
disrupt the meat and egg industry, which traditionally demands
many resources to maintain and has a huge environmental
impact. It appears these investors are challenging the idea that
venture capital isnt out to solve big problems.
Five themes stood out from the AgTech fundings for 2014:
THEMES
1. Mattermark Traction Report 2014. Note: time period for Mattermark Oct. 1, 2013-Sept. 30, 2014.
2. Precision Ag mostly encompasses the companies in the categories: Decision Support Technologies, Drones & Robotics, and Smart Equipment & Hardware
3. FoodTech mostly encompases companies in the ategories: Sustainable Protein, Farm2Consumer (F2C), Food Ecommerce, Food Safety & Traceability.
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4. Indoor Agricultures New FrontierIndoor Agriculture also had a breakout year, receiving seven
percent of invested dollars in 2014. Long considered unviable
due to high energy costs, the emergence of Indoor Agriculture is
being driven by the local food movement and water
conservation initiatives, affordable LEDs, and a nascent
cannabis industry. The largest deals in 2014 were London-
headquartered SunDrop Farms, which raised $100M from KKR,
and New Jersey Based Aerofarms which raised $36M.
5. Investors Got High on CannabisGiven deregulation trends (and Snoop Doggs recent announcement
of a $25M fund for weed startups) no AgTech report would be
complete without a summary of technology geared towards the
cannabis industry.
While not all cannabis startups fall within the scope of AgTech, twelve
weedtech (and hemp) companies captured nearly $23M in total
funding for 2014, with a median deal size of $1.16M. The largest
financing went to GrowLife ($12.1M), which produces cultivation
technology for growers and trades on the OTC under the symbol
PHOT. Of notable mention, Eaze gave new meaning to the term
getting high after it raised $1.5M for its marijuana drone delivery
service. In this case, we know what those investors were smoking.
Five themes stood out from the AgTech fundings for 2014:
THEMES
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$467
$416
$509
$969
55
78
67
64
Q1 Q2 Q3 Q4
10
Investment was strong across allquarters. Investment dollars dipped
slightly in Q2, but deal volume
surged to 78 deals and stayed
above Q1 levels for the rest of the
year.
Q4 ended on an upswing as deal
flow reached $969M, a 90% jump
over Q3 and greater than any other
two quarters combined. Five deals
(Instacart, LanzaTech, SunDrop
Farms, Hampton Creek, and
Impossible Foods) drove this
performance, accounting for 54%
of Q4 investments.
Deal Volume and Amount by Quarter
DEAL ACTIVITY BY QUARTER
Deal Volume
Financing | $Millions
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DE LS BY SUBSECTOR
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As the chart illustrates, the AgTechindustry is diverse and investment
is distributed across many
subsectors, with ten subsectors
receiving >5% of total funding.
Food ecommerce, bioenergy, and
soil & crop technology were the
largest subsectors in 2014,
accounting for 45% of all
investment dollars.
(See Deal Volume and Amount by
Subsector for complete list ofsubsectors.)
AgTech Subsector Breakdown
DEALS BY SUBSECTOR
16
16
13
8
7
7
7
5
5
5
9
Bioenergy
Food Ecommerce
Soil & Crop Tech
Sustainable Protein
Biomaterials & biochem
Indoor Agriculture
Waste Mitigation
Decision Support Tech
Smart Equip. & Hardware
Drones & Robotics
Other
% of Total Investment Dollars
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$374
$370
$314
$200
$177
$175
$154
$129
$125
$119
$59
$49
$25
$19
$16
$54
Bioenergy
Food Ecommerce
Soil & Crop Tech
Sustainable Protein
Biomaterials & Biochem
Indoor Agriculture
Waste Mitigation
Decision Support Tech
Smart Equip & Hardware
Drones & Robotics
Farm2Consumer (F2C)
Food Safety & Traceability
Food Storage
Water
Animal Nutrition & Health
Miscellaneous
13
Bioenergy received the mostinvestment capital with $374M, but
there are three broad financing
clusters: one group above $300M,
a second group from $100M-
$200M, and then a third group
below $60M.
Deal volume was distributed
differently. The top three
subsectors by deal amount
accounted for only 25% of deal
volume. In contrast, precision ag
(drones, smart equipment, anddecision support technology)
accounted for 29%.
Deal Volume and Amount by Subsector
DEALS BY SUBSECTOR
Financing | $Millions
# Deals
19
22
26
6
22
19
12
30
22
23
14
10
4
5
5
25
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Sustainable protein was an outlierthis year. It had only a few deals (6)
but 4/6 were large investments
(Beyond Meat was undisclosed).
Companies like Hampton Creek,
Impossible Foods, Modern
Meadow, and Beyond Meat were
all backed by deep-pocketed VCs
These companies threaten to
disrupt the meat and egg industry,
which consumes much of our crop
production as feed.
Average deal size for AgTechoverall was $9.7M, which is in the
top 50thpercentile across all
industries receiving venture
funding1.
Average Deal Size
DEALS BY SUBSECTOR
Financing | $Millions
1. Mattermark Traction Report 2014. Note: Date is U.S. only and covers the time period from Oct. 1, 2013-Sept. 30, 2014.
$40
$22
$21
$15
$13
$11
$8.9
$6.2
$6.2
$5.7
$5.4
$4.9
$4.8
$4.5
$3.2
$2.2
Sustainable Protein
Food Ecommerce
Bioenergy
Waste Mitigation
Soil & Crop Tech
Indoor Agriculture
Biomaterials & Biochem
Food Storage
Food Safety & Traceability
Smart Equip & Hardware
Drones & Robotics
Farm2Consumer (F2C)
Water
Decision Support Tech
Animal Nutrition & Health
Miscellaneous
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Median deal size for sustainable
protein was lower than the average
deal size by almost half ($23M vs
$40M), but was still 3x higher than
the next subsector.
Newer technology subsectors, like
drones, decision support
technology, and smart equipment
had small median deal sizes,
reflecting both the volume and
smaller investment sizes.
Median Deal Size
DEALS BY SUBSECTOR
Financing | $Millions
$23.0
$8.0
$5.7
$4.5
$4.2
$3.1
$2.8
$2.5
$2.2
$2.1
$2.0
$1.5
$1.4
$1.3
$0.3
$1.0
Sustainable Protein
Soil & Crop Tech
Food Storage
Bioenergy
Water
Biomaterials & Biochem
Waste Mitigation
Food Safety & Traceability
Decision Support Tech
Food Ecommerce
Drones & Robotics
Indoor Agriculture
Farm2Consumer (F2C)
Smart Equip & Hardware
Animal Nutrition & Health
Miscellaneous
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Spotlight on Precision Ag
89
Unique Investors
70
Deals
$276M
Invested
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Precision ag software (9) and
drones (8) captured the largest
deals in 2014. Of the farm
management systems, Conservis,
FarmLogs, AgWorld, Farmers
Business Network, Farmers Edge,
and Granular have somewhat
competing technologies, but this
did not seem to deter investors.
Outside the pack above, Semios
(Hardware/Software), Blue River
(Robotics), and Silent Herdsman
(Hardware/Software) aredeveloping unique solutions and
have no direct competitors.
Spotlight on Precision Ag: Top 20 Deals
SPOTLIGHT PRECISION AGRICULTURE
$40
$25
$20
$13
$12
$10
$10
$10$10
$10
$7.0
$5.6
$4.6
$4.5
$4.5
$4.2
$4.2
$4.0
FarmLink
Airware
XAircraft
SkyCatch
Kespry
Conservis
FarmLogs
Blue River TechnologyEhang
PrecisionHawk
aWhere
Agworld
Farmers Business Network
Silent Herdsman
Skymet
Airphrame
Granular
FarmLogs
Farmer's Edge
Semios
Undisclosed
Undisclosed
Financing | $Millions
Series B
Series A
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Of the thirteen investors that
invested in two or more precision
ag deals, six came from outside of
Silicon Valley. Four of which were
based in the mid-west including
Serra Ventures (640 Labs, Agrible,
Plant Link); Drive Capital, Huron
Ventures, Hyde Park and Ventures
(2x FarmLogs).
Notably, startup accelerator Start-
Up Chile invested in three drone
companies (Iron Drone, Hard
Drones, Agribots) and Pycno whichuses soil sensors for real-time
monitoring.
Spotlight on Precision Ag: Investors in 2+ Deals
SPOTLIGHT PRECISION AGRICULTURE
0 1 2 3 4
Start-Up Chile
Khosla Ventures
Kleiner Perkins Cau!eld & Byers
Serra Ventures
Y Combinator
Andreessen Horowitz
Data Collective
Drive Capital
Google Ventures
Huron River Ventures
Hyde Park Venture Partners
Portland Seed Fund
SoftTech VC
Number of Deals in 2014
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Investors made big bets in indoor
ag last year. KKR made the biggest
best, investing $100M in London
headquartered SunDrop Farms.
SunDrop will use this money to
build a 20-hectare greenhouse
facility, which will be one of the
largest indoor production facilities
in the world.
With the new economics of indoor
ag production facilities, and the
consumer demand for consistent
sources of fresh produce, investorsshowed an appetite for urban, local
production providing fresh food
grown within city limits. Six of the
top ten indoor ag companies do
this.
Snapshot: Top 10 Indoor Agriculture Deals
SNAPSHOT OF INDOOR AGRICULTURE
Financing | $Millions
$100
$36
$12
$8.0
$4.9
$4.6
$3.7
$2
$1
$0.96
SunDrop Farms
AeroFarms
GrowLife
Gotham Greens
BrightFarms
PodPonics
Freight Farms
Grove Labs
FusionPharm
Zero Carbon Food
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In 2014, most weedtech deals were
small, below $1.5M. The one
exception was hydroponics
developer Growlife, which raised
$12.1M to extend its business from
cannabis to include vegetable
cultivation.
Companies in weedtech ran the
gamut from weed delivery services
(Eaze) to cannabinoids-based
pharmaceuticals (LaraPharm) to
commercial growing technologies
(TriQ Systems).
Unlike in other subsectors, most
companies did not disclose their
investors.
Snapshot: Top 10 Weedtech Deals
SNAPSHOT CANNABIS TECH
Financing | $Millions
$12.14
$1.5
$1.5
$1.5
$1.5
$1.3
$1
$0.97
$0.88
$0.2
GrowLife
Eaze
TriQ Systems
LaraPharm
Potbotics
Surna
FusionPharm
Meadow
Greengro
Arcadia EcoEnergies
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DEALS BY STAGE
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Seed stage deals accounted for
over 46% of all AgTech deals, but
received only 3% investment
dollars. This is expected for a
relatively new industry where the
majority of activity is in new
company formation.
Deal volume shows a clear trend
the number of companies receiving
capital is highest for seed stage
and then declines dramatically with
each next stage.
Deal Amount and Volume by Stage
DEALS BY STAGE
$82
$419
$349
$617
$299
$424
$171
121
53
33
16
7
17 17
Seed A B C D Late/Other
Debt
Deal Volume
Financing | $Millions
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Four of the top 20 deals went to
drone companies and four went to
weedtech, with weed-by-drone
delivery startup Eaze sitting in both
camps.
Precision ag company, 640 Labs,
raised $3.2M in Seed funding in
2014, and was just recently
acquired by Climate Corporation for
an undisclosed amount.
Top 20 Seed Deals
DEALS BY STAGE
$4
$3.2
$3
$2.9
$2.7
$2.1
$2
$2
$1.7
$1.7
$1.5
$1.5
$1.5
$1.5
$1.5$1.5
$1.5
$1.5
$1.4
$1.4
6Sensor Labs
640 Labs
Airex Energy
Gro Intelligence
Farmeron
Drync
Grove Labs
DroneDeploy
mOasis
Exo Protein
Potbotics
Eaze
LaraPharm
Esoko Networks
SkyWard IOMarly Spoon
Greencart
TriQ Systems
Farm At Hand
Ceres Imaging
Financing | $Millions
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$75
$36
$20
$20
$17
$13
$13
$12
$12
$11
$10
$10
$10
$10
$10$10
$9.5
$7.5
$7
Impossible Foods
AeroFarms
XAircraft
Yummy77
Lyxia
SkyCatch
BlueWrap
Kespry
Emulate
Nagare Membranes
Conservis
Blue River Technology
Ehang
FreshRealm
Modern MeadowEnterra Feed
Club-W
Symbiota
aWhere
Semios
24
Impossible Foods captured an
impossibly large Series A from an
envious group of investors
including Bill Gates, Khosla, and
Chinese Billionaire Li-Ka Shing
(Horizons Venture). Impossible
Foods was founded by a 60-year
old Stanford professor and first-
time entrepreneur, Patrick Brown.
The company is developing a
bioengineered molecule found in
hemoglobin made from plants
which tastes like blood. Impossible
Foods thinks that this may be thekey to an all plant burger fit for a
carnivore.
Top 20 Series A Deals
DEALS BY STAGE
Financing | $Millions
Undisclosed
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$44
$40
$26
$26
$25
$23
$21
$17
$15
$10
$10
$8
$8
$8
$6.8$6
$5
$5
$4.9
Instacart
FarmLink
Rivertop Renewables
Door to Door Organics
Airware
Hampton Creek
Good Eggs
Newleaf Symbiotics
BioConsortia
FarmLogs
PrecisionHawk
Gotham Greens
Agrisoma
JDCPhosphate
YnsectGreen & Grow
Microvi Biotechnologies
WISErg
BrightFarms
Farmer's Edge
25
While some companies struggle to
raise their first million, Instacart
snagged a $44M Series B in June
and six months later raised a
$220M Series C. Door to Door
Organics and Good Eggs which
connects reaches farther back in
the value chain than Instacart
raised $47M altogether. However,
Good Eggs recently laid off 15% of
their workforce and so they may be
reconsidering their business model.
Top 20 Series B Deals
DEALS BY STAGE
Undisclosed
Financing | $Millions
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DEALS BY GEOGRAPHY
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Canadian AgTech companies
captured seven of the top twenty
international investments, followed
by China (3) and the UK (3).
In 2013 Israeli-based bio-AgTech
company Kaiima raised $65M.
Israel has a thriving AgTech
community and is home to the
AgTech accelerator Mofet
Ventures. However, in 2014 Israel
had only two financings that were
publicly disclosed (LaraPharma,
and Cropx), but neither companymade the top 20. It is likely that
other Israeli AgTech companies
received funding, but the
information was not widely
disseminated.
Top 20 International Deals
DEALS BY GEOGRAPHY
$100
$20
$20
$10
$10
$10
$8.0
$5.6
$5.0
$4.5
$4.5
$3.5
$3.0
$3.0
$2.8
$2.6
$2.5
$2.2
SunDrop Farms
XAircraft
Yummy77
Enterra Feed
Fruitday
Oxitec
Agrisoma
Agworld
Marly Spoon
Silent Herdsman
Skymet
Horatau
Resson Aerospace
Airex Energy
Mekitec
Trecker
Zakaz.ua
Prestodiag
Farmer's Edge
Semios
Undisclosed
Undisclosed
Financing | $Millions
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$220$112
$110
$100
$90
$75
$68
$50
$48$44
$40
$36
$36
$33
$30
$28
$26
$26
$25
$23
Instacart
LanzaTech
VitAg
Cool Planet Energy
Hampton Creek
Impossible Foods
BioNano
Blue Apron
Verdezyne
Instacart
FarmLink
AeroFarms
Chromatin
Arcadia BioSciences
Fulcrum Bioenergy
Aseptia
Rivertop Renewables
Door to Door Organics
Airware
Digital Lumens
Top 20 U.S. Venture Capital Deals
28
DEALS BY GEOGRAPHY
Financing | $Millions
Series C
Series B
The top 20 U.S. venture capital
deals in agtech spanned nearly
every sector, with most of the top
deals going to grocery delivery,
sustainable protein, and bioenergy
companies.
Two precision agriculture
companies, FarmLink and AirWare,
also made the top 20 list.
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In the U.S. AgTech investing
follows a different pattern than
other industries. More investments
are made in the Midwest and other
states (like Texas) involved in
agriculture.
Predictably, California had the
largest volume of deal activity -
36% of all deals, over 4x more
deals than any other state. But, this
is actually lower than would be
expected, given that California is
both the largest agriculture state inthe U.S. ($43B) and it received
over 41% of all venture capital
deals (1,804) across all sectors in
20141.
U.S. Investment: Number of Deals by State
DEALS BY GEOGRAPHY
65
68
Deals Funded
1. National Venture Capital Association/Price WaterhouseCoopers (Prepared by SSTI)
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U.S. companies accounted for
nearly 90% of reported investment
in 2014.
Within the U.S., California
companies dominated the the field,
capturing 46% percent of all
venture capital over 68 deals.
However, as with deal volume on
the previous slide, investment
totals are lower than expected
given that California companies
were the recipients of more than
56% of U.S. venture capital dollars($27B) in 20141.
U.S. Investment: Dollar Value of Deals by State
DEALS BY GEOGRAPHY
$967
$207
$139
$127
$118
$110
$92
$75
$59$40
$35
$28
$26
$15
$12
$5.9
$4.9
$4.6
$4.0
$4.0
California
Illinois
Colorado
New York
Massachusetts
South Carolina
Florida
North Carolina
MissouriMinnesota
Washington
Michigan
Montana
Texas
Pennsylvania
Ohio
New
Georgia
Nebraska
Tennessee
Financing | $Millions
1. National Venture Capital Association/Price WaterhouseCoopers (Prepared by SSTI)
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INVESTOR ACTIVITY
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AgTech had 271 unique investors
2014, and forty one of those made
two or more investments. This is a
healthy indicator showing recurring
activity in the sector, and its
comparable to other fast growing
industries.
The most active investors were top-
tier Silicon Valley investors with a
history in cleantech, like Khosla
(10), Kleiner (5), and Andreesson
(5). Ag focused investors, like
Cultivian Sandbox (6) were theother notable group. Among active
investors, a new crop of
accelerators participated, albeit in
small investment amounts.
Number of Deals by Investors
INVESTOR ACTIVITY
#AgTech Investments Added to Portfolio in 2014
#Investors
NumberofInvestors
230
29
x1 x2 x3 x4 x5 x6 x10
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AGTECH FUNDING REPORT 2014: YEAR IN REVIEW | AGFUNDER.COM
Instacart$220M Series C
Advanced Animal Diagnostics$15M Series C
Edyn$1.15M Seed
Instacart$220M Series C
Instacart$220M Series C
LanzaTech$112M Series D
Vestaron$14M Series C
Tule$1M Seed
Instacart$44M Series B
Airware$25M Series B
Hampton Creek$90M Series C
Conservis$10M Series A
Glowing Plants$120k Seed
Airware$25M Series B
Farmers Business Network$4.6 M Series A
Impossible Foods$75M Series A
AbClex$2M Series B
Ginko Bioworks$120k Seed
Granular$4.2M Series A
Beyond MeatUndisclosed Series B
Instacart$44M Series B
enEvolv$1.8M Series A
TerrAvion$97k Seed
AgLocal$1.3M Seed
Farmers EdgeUndisclosed Series B
Hampton Creek$23M Series B
Novihum TechnologiesUndisclosed
Meadow$97k Seed
BioConsortia$15M Series B
Blue River Technologies$10M Series A
Granular$4.2M Series A
Tule$1M Seed
33
Investments by Top 5 Most Active Investors
INVESTOR ACTIVITY
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Investors with 2+ Deals
INVESTOR ACTIVITY
0 1 2 3 4 5 6 7 8 9 10
Khosla VenturesCultivian Sandbox Ventures
Y CombinatorAndreessen Horowitz
Kleiner Perkins Cau!eld & ByersHorizons Ventures
Start-Up Chile
Collaborative FundGoogle Ventures
SoftTech VCSerra Ventures
Invested DevelopmentCanaan Partners
Sequoia CapitalGoldman Sachs
BP Alternative EnergyOPENAIR Equity Partners
Open PrairiePangaea Ventures
SJF VenturesAnterra Capital
Wheatsheaf InvestmentsOtter Capital
Syngenta VenturesComerica Bank
Huron River VenturesDrive Capital
Hyde Park Venture PartnersAvrio Capital
Lightspeed Venture PartnersData Collective
Upfront Ventures
Draper Fisher Jurvetson (DFJ)Lemnos Labs
SK Ventures500 Startups
Felicis VenturesGalvanize VenturesPortland Seed Fund
Coolidge Corner InvestmentVilCap Investments
Startup incubators and accelerators Y
Combinator, Start-Up Chile, Invested
Development, 500 Startups, and
Lemnos Labs, Galvanize, Village
Capital participated in 21 out of the 123
Seed funded AgTech companies
(17%). This suggests that incubators
and accelerators may be an important
source of capital for AgTech companies
that may otherwise have difficulty
raising seed capital from mainstream
investors. Y Combinator, whose alumni
include Airbnb and DropBox, put out a
Request for Startups in Food & Waterand was the top destination for AgTech
startups (6).
Number of Deals in 2014
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$132
$132
$62
$49
$42
$34
$25
$23
$21
$20
$19
$16
$16
$15
$13
$13
$11
$11
$10
$9.5
Canaan Partners
Sequoia Capital
Goldman Sachs
Horizons Ventures
BP Alternative Energy
Khosla Ventures
Andreessen Horowitz
Collaborative Fund
OPENAIR Equity Partners
Kleiner Perkins Cau!eld & Byers
Comerica Bank
Open Prairie
Pangaea Ventures
SJF Ventures
Anterra Capital
Google Ventures
Wheatsheaf Investments
Otter Capital
Cultivian Sandbox Ventures
Syngenta Ventures
35
AgTech focused VCs like Cultivian,
Syngenta, Anterra Capital and Open
Prairie, tended to participate in smaller
rounds ($9.5M - $16M), having little
overlap large Silicon Valley VCs. This
may reflect a more conservative
mandate or fund size limitations. In
contrast, many of the biggest name VC
firms in Silicon Valley were active in the
large rounds of +$20M, including Khosla,
Sequoia, Andreessen Horowitz, Kleiner.
As this current batch of early stage
companies matures, it will be interestingto see if AgTech VCs will raise larger
funds that can support these companies
to larger exits, rather than being forced
into an early exit to a strategic.
Median Round Size of Top 20 Investors
INVESTOR ACTIVITY
Financing | $Millions
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APPENDIX
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TOP 5 DEALS
Top 5 Deals: Bioenergy
Company Funding Date Raised Stage Investors
LanzaTech 12/08/14 $112M Series DK1W1, QiMing Venture Partners, Siemens
Venture Capital, CICC, Malaysian LifeSciences Capital Fund, Khosla Ventures
Cool Planet Energy Systems 03/31/14 $100M Series D UBS, Goldman Sachs
Fulcrum Bioenergy 08/11/14 $30M Series D Cathay Paci!c Airways Ltd.
Ceres 03/10/14 $23MPost IPO
EquityBirchview Capital, Orgacile Investment
Management
NexSteppe 09/23/14 $22M Series CTotal Energy Ventures, ELFH Holding,
Braemar Energy Ventures, DuPont Ventures
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TOP 5 DEALS
Top 5 Deals: Biomaterials & Biochemicals
Company Funding Date Raised Stage Investors
Verdezyne 03/28/14 $48M Series CBP Alternative Energy, DSM Venturing, OVP
Venture Partners, Monitor Ventures
Rivertop Renewables 04/09/14 $26M Series B First Green Partners
Metabolix 09/04/14 $25MPost IPO
EquityUndisclosed
Plandai 02/10/14 $15M Equity Lincoln Park Capital Fund
Metabalon 01/06/14 $15M Series ECamden Partners, Harris & Harris Group,
Fletcher Spaght Ventures, The Aurora Funds,Syngenta Ventures
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TOP 5 DEALS
Top 5 Deals: Crop & Soil Technology
Company Funding Date Raised Stage Investors
BioNano 11/20/14 $68M Series CDomain Associates, Novartis Venture Fund,
Gund Investment Corporation, LegendCapital, Battelle Ventures
Chromatin 01/09/14 $36M Series EBP Alternative Energy, GE Capital, Illinois
Ventures
Marrone Bio Innovations 05/16/14 $35MPost IPO
EquityUndisclosed
Arcadia BioSciences 05/08/14 $33M Series DSaints Capital, CMEA Capital, Mandala
Capital, BASF Venture Capital
Newleaf Symbiotics 09/15/14 $17M Series BOpen Prairie, Pangaea Ventures, RockPort
Capital, Palo Alto Investors
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TOP 5 DEALS
Top 5 Deals: Decision Support Technology
Company Funding Date Raised Stage Investors
FarmLink 08/19/14 $40M Series B Thorndale Farm, OPENAIR Equity Partners
Conservis 09/08/14 $10M Series AHeartland Farms, Cultivian Sandbox
Ventures, Middleland Capital
FarmLogs 12/17/14 $10M Series BSV Angel, Huron River Ventures, Hyde Park
Venture Partners, Drive Capital
aWhere 09/08/14 $7M Series A Elixir Capital Management
Farmer's Edge 11/10/14 Undisclosed Series B Kleiner Perkins Cau!eld & Byers
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TOP 5 DEALS
Top 5 Deals: Drones & Robotics
Company Funding Date Raised Stage Investors
Airware 06/23/14 $25M Series B Undisclosed
XAircraft 09/01/14 $20M Series A Chengwei Capital
SkyCatch 05/23/14 $13M Series A Google Ventures,"Venture Capital
Kespry 10/24/14 $12M Series A Lightspeed Venture Partners
Blue River Technology 03/19/14 $10M Series AKhosla Ventures, Innovation Endeavors, Data
Collective
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TOP 5 DEALS
Top 5 Deals: Farm 2 Consumer
Company Funding Date Raised Stage Investors
Door to Door Organics 11/10/14 $26M Series B Greenmont Capital Partners, Arlon Group
Good Eggs 09/08/14 $21M Series B Index Ventures
Vital Farms 09/25/14 $2.3M Series A Undisclosed
Cortilia 11/05/14 $1.9M Series A P101
Hello Nature 09/29/14 $1.4M Series AMirae Asset Venture Investment, Softbank
Ventures Korea
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TOP 5 DEALS
Top 5 Deals: Food E-Commerce
Company Funding Date Raised Stage Investors
Instacart 12/30/14 $220M Stage CSequoia Capital, Khosla Ventures, Kleiner
Perkins Cau!eld & Byers, Canaan Partners,Andreessen Horowitz
Blue Apron 04/25/14 $50M Stage C Stripes Group
Instacart 06/16/14 $44M Stage BSequoia Capital, Khosla Ventures, CanaanPartners, Andreessen Horowitz, American
Express Ventures
Yummy77 05/19/14 $20M Stage A Amazon, AmazonFresh
Fruitday 03/25/14 $10M Stage C SIG China, ClearVue Partners
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DEALS BY SUBSECTOR
Top 5 Deals: Food Safety & Traceability
Company Funding Date Raised Stage Investors
Aseptia 03/04/14 $28M Series CLookout Capital, SJF Ventures, Prudential
Capital Partners
Invisible Sentinel 01/14/14 $7M Series C Unknown
6Sensor Labs 09/11/14 $4M SeedUpfront Ventures, Lemnos Labs, SoftTech
VC, Xandex Investments, SK Ventures
Mekitec 03/05/14 $2.8M Series A Inventure Oy, Finnish Industry Investment
Prestodiag 06/14/14 $2.2M Series AAmorcage Technologique Investissement,
Go Beyond, Kreizig Invest, CapDecisifManagement
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DEALS BY SUBSECTOR
Top 5 Deals: Indoor Agriculture
Company Funding Date Raised Stage Investors
SunDrop Farms 12/04/14 $100MPrivateEquity
KKR
AeroFarms 11/10/14 $36M Series A Undisclosed
GrowLife 06/21/14 $12MPost IPO
EquityUndisclosed
Gotham Greens 11/24/14 $8M Series B Undisclosed
BrightFarms 01/29/14 $4.9M Series B NGEN Partners, Emil Capital Partners
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DEALS BY SUBSECTOR
Top 5 Deals: Indoor Agriculture
Company Funding Date Raised Stage Investors
Hampton Creek 12/18/14 $90M Series C
Tao Capital Partners, Collaborative Fund, Horizons
Ventures, Founders Fund, Far East Organization,
WP Global Partners, Khosla Ventures, Uni-
President Enterprises Corporation,Velos Partners
Impossible Foods 10/14/14 $75M Series AHorizons Ventures, Khosla Ventures, Google
Ventures, Bill Gates
Hampton Creek 02/17/14 $23M Series BHorizons Ventures, Khosla Ventures,
Collaborative Fund, AME Cloud Ventures, Eagle
Cli"Partners
Modern Meadow 06/26/14 $10M Series A Horizons Ventures, ARTIS Ventures
Beyond Meat 07/29/14 Undisclosed Series DKleiner Perkins Cau!eld & Byers, Obvious
Ventures, Morgan Creek Capital, ClosedLoop
Capital, DNS Capital,S2G Ventures
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DEALS BY SUBSECTOR
Top 5 Deals: Waste Mitigation
Company Funding Date Raised Stage Investors
VitAg 07/14/14 $110MPrivateEquity
Shrieve Chemical, Tennenbaum CapitalPartners, TPG Alternative and Renewable
Technologies, Citigroup Global Markets
Harvest Power 10/27/14 $20M Series DGeneration Investment Management, True
North Venture Partners, Industry Ventures
Enterra Feed 03/27/14 $10M Series A Avrio Capital, Wheatsheaf Investments
Ynsect 12/17/14 $6.8M Series B Demeter Partners, EMERTEC
WISErg 06/24/14 $5M Series B Angel Investors LP
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We help Accredited and Institutional Investors discover & invest in developing
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Learn more @ www.agfunder.com Contact us @ [email protected]
Last updated May 3, 2015