Monsanto Invests $6.5M in Online Grain Marketplace Startup

FarmLead, a leading online grain marketplace, received $6.5 million in Series A funding from Monsanto Growth Ventures (MGV) to support the Canadian firm’s expansion into the U.S. market and the opening of its U.S. headquarters in Chicago, the company announced March 20.

The firm also secured additional investments from Avrio Ventures, MaRS Investment Accelerator Fund, and Serra Ventures. FarmLead serves more than 4000 farms in North America, with its traded tonnage levels raising 200% to 300% higher year-over year, the company said. The service provides farmers with access to a number of grain buyers through a digital platform. Moving into the future, FarmLead plans to add a forward contracting service to allow growers to sell to buyers based on forecasted grain yields.

“Despite the recent levels of technology innovation in agriculture, very few companies are aimed at the critical commerce piece of the equation that helps farmers realize profits from day one,” said Kiersten Stead, investment director at MGV, in a statement. “FarmLead built a platform that can do just that and is a key part of a diversified approach to marketing and trading grain. We are delighted to support a great team and to partner with committed investors to establish an open marketplace that gives the industry more options and a differentiated advantage.”

FarmLead’s service enables buyers to interact directly with farmers and offers flexibility for payment options.

“This investment signals the appetite for a solution that accelerates the rates of commercial grain marketing transactions,” said FarmLead chief executive officer and co-founder Brennan Turner in a statement. “Our ability to increase deal flow for farmers, enabling them to negotiate better prices and other key trade terms online, allows farms to take ownership of their grain production and marketing lifecycle. This is the future of grain trading and we are truly poised to transform the way agricultural commodities are traded worldwide.”

Click here for information about the PBS Toronto event, May 16-18, 2017

For more articles, news, and equipment reviews, visit our Equipment Zones