Grönska receives financing from Nefco to expand its vertical farming solution

Indoor vertical farming enables resource-efficient and climate-resilient food production in urban environments. The Swedish company Grönska aims to become a technology provider for the global vertical farming industry.

Nefco – the Nordic Green Bank – is financing Grönska Stadsodling 365 AB (Grönska), a Swedish company specialised in vertical farming cabinets. With financing from Nefco, Grönska will scale up its vertical farming solution, GrowOff, in the European and US markets.

Controlled environment agriculture solutions such as indoor vertical farms can be used to produce crops out of season and in regions where they would otherwise not be able to survive, offering a solution in the pathway towards a sustainable global food industry. Grönska GrowOff units are a closed-loop system for growing leafy greens locally. They can be placed anywhere, for example in supermarkets, schools and restaurants, which reduces transport-related greenhouse gas emissions. GrowOff units can reduce annual water usage by up to 95%, minimise nutrient leakages and remove the need for pesticides.

“Grönska is a great example of a company providing necessary solutions for the transformation of the global food system to make it more sustainable. In addition to the clear environmental benefit, Grönska’s solution has great potential for scalability, which makes it interesting for Nefco,” comments Auli Nikkilä, Investment Officer, Nefco.

“We are thrilled to announce that this funding will enable us to launch our sustainable GrowOff units internationally for the first time, contributing to a more resource-efficient and climate-resilient food industry. We look forward to making a positive impact on global agriculture and promoting environmentally friendly practices,” says Robin Lee, CEO, Grönska.

During the first years of its operations, Grönska focused on operating a large-scale vertical farm in Stockholm, but in 2021, the company pivoted towards becoming a technology provider for the vertical farming industry. Now the focus is on Grönska GrowOff units, its new vertical farming cabinets.

“The coming five years will be eventful for Grönska. We are dedicated to strengthening our position as the number one actor in the small-scale controlled agriculture space. We are working hard to make growing even easier and available to a wider audience,” says Lee.

Grönska’s international scale-up is also being financed by the Swedish public financier Almi Företagspartner, which has financed Grönska since 2018.

“Almi is proud to be able to support the growth of Grönska and its pursuit of a more sustainable world. We consider Grönska to be a good example of a company that aligns with Almi’s assignment to finance sustainable businesses. We are impressed by its work so far and look forward to following its business journey ahead,” says Magnus Palm, Finance Advisor, Almi Företagspartner.

Previously, Grönska has been granted financial support from Nopef, the Nordic Project Fund, for a feasibility study, through which the company explored potential new market entry in the US and Canada. “We are pleased to help Grönska with further financing for its global growth and accelerate the transition towards sustainable food production,” says Nikkilä.

For more information, please contact:

Auli Nikkilä, Investment Officer, Nefco
auli.nikkila@nefco.int, +358 10 6180 652

Robin Lee, CEO Grönska Stadsodling 365 AB
robin@gronska.org

Magnus Palm, Finance Advisor, Almi Företagspartner AB
magnus.palm@almi.se, +46 70 367 1440

About Grönska Stadsodling 365 AB

Grönska is a Swedish tech company founded in 2014 that specialises in developing technology for indoor vertical farming of all shapes and sizes. In 2017, Grönska released GrowOff, an indoor farming module equipped with LEDs and sensors with capacity to grow 300 plants per month in a single square metre. Grönska provides technology for making food production sustainable. Read more: www.gronska.org

About Almi Företagspartner AB

Almi is the Swedish Regional Development Agency, which offers loans to Swedish companies with growth potential and assists in their business development. Almi provides venture capital for early-stage, emerging companies with high growth potential and a scalable business concept. Read more: www.almi.se


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